WATCH: Stock picks — Naspers and Mondi
David Shapiro from Sasfin Securities chose Naspers as his stock pick of the day, while Wayne McCurrie from Ashburton Investments chose Mondi.
Shapiro said he did not think that Tencent’s performance was over yet. “It’s too late to get out of those tech stocks and the kind of growth that we see. Yes, it might slow down and you won’t get 61% every time, but you are still going to grow in double digits, which is very difficult to find in other kinds of businesses,” he said.
McCurrie said that Mondi had had a good trading update on Wednesday. “It’s a good business, which is nicely diversified into specialised packaging. There might be a little bit of oversupply in one of their markets this year in Europe, but that would be relatively temporary. Mondi has a huge cash flow and paid out a à1 special dividend. The one winner of the online success story is specialised packaging, which is one of Mondi’s business units and the big environmental drive by consumers to replace plastic with paper is also a huge plus for Mondi,” he said.
David Shapiro from Sasfin Securities talks to Business Day TV about Naspers and Wayne McCurrie from Ashburton Investments discusses Mondi
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