In a recent update, Inderes made significant changes to its model portfolio by removing asset manager Capman. Analysts believe that Neste’s challenges are manageable and short-term in nature. The team now views the valuation of the stock as relatively neutral and preferred to allocate funds elsewhere.
Capman had been in Inderes’ model portfolio since 2013, but with recent challenges in the business due to rising interest rates, the decision was made to divest. The analysts at Inderes expect Capman to reach a normal result level next year, but the return expectation was deemed too reliant on dividend yield. On the other hand, Neste was added to Inderes’ model portfolio in February, despite the share price dropping by 20 percent since then. The analysts believe that Neste’s short-term challenges, including refining margins and production ramp-up difficulties, are manageable. They anticipate growth in demand for renewable products by the end of the decade, leading to a positive return on investment.
The model portfolio now has a higher cash weight due to the recent transactions. The analysts view this move as strategic given current market conditions. Despite these changes in the model portfolio, Inderes continues to offer buy recommendations for Neste, citing an attractive target price and growth potential. Overall, Inderes’ model portfolio reflects the shifting dynamics of the market and seeks to capitalize on opportunities while remaining transparent in its approach.
Inderes is known for its stock analysis and made significant changes to its model portfolio by selling off Capman and adding Liquid in February. Analysts at Inderes expect Capman to reach a normal result level next year but deemed it too reliant on dividend yield.
The removal of Capman from Inderes’ model portfolio has sparked interest among investors who closely follow trades made by this renowned asset management firm. Despite this change, Inderes continues to offer buy recommendations for Neste due to an attractive target price and growth potential.
The addition of Neste into Inderes’ model portfolio signifies that investors should pay close attention to refining margins and production ramp-up difficulties faced by this company which may affect short-term profitability.
In conclusion, investors must remain vigilant about fluctuations in their portfolios due to changing market conditions that can impact asset management firms like Capman or other companies like Neste that face temporary hurdles before achieving long-term successes through increased demand for renewable products.
