WATCH: Stock Pick — Remgro and AB InBev

Steven Schultz from Momentum chose Remgro and AB InBev  as his stock picks for the day.

"My stock pick is twofold. From the short-term stock pick just from pure trading, it's Remgro — we saw it rally today, evidence that the market doesn't sleep. It's up 6% but there is a 22% discount to net asset value so a little bit more left in that trail I think.

“Long term it's AB InBev. I picked it before but we saw a very aggressive sell-off of the counter in October. Largely a result of missing volumes, and expectations were a 0.8% percent growth in volumes. What they experienced was a 0.5% contraction, larger results of Asia and perhaps a lesser extent of the US.

“I do think that the sell off of 11% is definitely overdone. I think there's definitely value in the counter at present. It trades on a forward PE of 18 and of course it is a defence of stock with rand hedges,” Schultz said.

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