WATCH: Stock picks —Lockheed Martin and Adapt IT
Gary Booysen from Rand Swiss chose Lockheed Martin as his stock pick of the day and Ashraf Mohamed from Arqaam Capital chose Adapt IT.
Booysen said: “Lockhead Martin is one of the world’s biggest defence contractors and it essentially has a long-term pipeline with the US government that looks very attractive. Defence contractors also trade at a discount to the overall market, so Lockheed Martin is trading between 13 and 14 times earnings, which I think is going to give it a little bit of stability.”
Mohamed said: “Adapt IT is a beneficiary of the EOH debacle, especially when it comes to corporates. Government is not affected that much yet because of all the tender processes. A lot of corporates are saying we don’t want to be somewhere where it’s tainted. A lot of them are opting to do contracts with Adapt IT.”
Gary Booysen from Rand Swiss and Ashraf Mohamed from Arqaam Capital talk to Business Day TV
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