Graeme Körner from Körner Perspective chose Reinet Investments as his stock pick of the day and Bright Khumalo from Vestact chose Transaction Capital. Reinet owns a portion of British American Tobacco (BAT), which has battled after announcements that the US plans to ban menthol cigarettes. Körner said: “What is likeable about this stock is that the discount is still around 35% and BAT’s assets are down to 52%. As BAT falls in this relative market, other businesses are looking more appealing. If you want to buy the ‘British American Tobacco bounce’ and you follow what management at Reinet are saying, that they are going to be buying back shares as well, it shows downside protection and an extraordinary large discount.” Khumalo said that Transaction had they released “a very strong set of numbers”. “They do all the taxi financing and own a huge chunk of that market. What we like about it is the stats about commuters in SA, there are around 3-million commuters that use the bus on a dai...
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