WATCH: Stock picks — CMH and Adevinta
Nic Norman Smith from Lentus Asset Management and Jean Pierre Verster from Protea Capital Management talk to Business Day TV
Nic Norman Smith from Lentus Asset Management chose Combined Motor Holdings (CMH) as his stock pick of the day and Jean Pierre Verster from Protea Capital Management chose Adevinta.
Norman Smith said: “I’m going to go with the Combined Motor Holding (CMH). So they had results out on Tuesday. It’s a local car retailer and although people believe that SA retail is dead and no one’s ever going to buy another car again CMH ... is trading at six times earnings and its earnings actually grew slightly.”
Verster said: “It’s an e-commerce business so very similar to OLX within the Prosus stable and we saw today that Prosus is making a bid for Just Eat and it means they’ve got some money burning in their pocket.”
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