Just what will it take to revive market enthusiasm for EOH? On the basis of its year-end results released last week, the company is now the cheapest it has yet been, trading on a forward p:e of 9.76 times. Yet the shares closed last Tuesday’s session more than 5% lower after CEO Zunaid Mayet’s maiden annual presentation. At one point during the day, they dropped as low as R92, prompting a volatility auction on the JSE. On the surface, results for the period to end-July looked more than decent: revenue for the year grew 21% to R15.49bn, headline EPS were 16% better at 832c, and the company is still paying dividends. These grew 16% to 215c as cash swelled 29% to R2.5bn. According to the results, organic growth accounted for 63% of the rise in consolidated revenue, and 68% of its profit before tax. The company remains acquisitive, however. During the year it bought the Cornastone group of companies, PIA Solar SA and the Syntell group of companies. But Fairtree Capital’s Jean-Pierre Ver...

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