Daily Brief Energy/Materials: Hyundai Steel, Tata Steel Ltd, Franco-Nevada , VAALCO Energy and more

• The Korean government has introduced policies ahead of April’s elections, with a recent notable announcement addressing the “Korea Discount” by enhancing low PBR stock valuations.
• A leading proposal involves creating an index of low PBR companies. There are hints of listing ETFs tracking this index, with potential directives compelling pension funds to invest.
• Identifying early inclusions is vital. High-likelihood candidates are low PBR large caps with maintained earnings, dividends/share buyback potential, including Hyundai Dept, E-Mart, Hyundai Steel, IBK, Korean Re, & DL E&C.

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

1. Lippo Malls Indonesia Retail Trust
2. Vedanta Resources
3. ReNew Energy Global
4. China Jinmao Holdings
5. Geely Auto

and more…

Key points (machine generated)

• Franco-Nevada Corporation is a gold-focused royalty and streaming company operating in the mining and energy sectors.
• Despite not having any imminent corporate catalysts, it is considered a top-tier investment choice for exposure to precious metals.
• Managed by a world-class operator, the company is expected to outperform other large-cap precious metals stocks and physical gold. Its involvement in the sale of crude oil, natural gas, and natural gas liquids adds to its attractiveness for investors in the current economic climate.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• • 4Q23 WI production of 23.1-23.5 mboe/d was comfortably within the management guidance of 22.9-24.6 mboe/d. • VAALCO held >US$120 mm in cash and cash equivalents at the end of December, up from US$103 mm at the end of September.
• The YE23 cash position was impacted by the fact the Egyptian sales during 4Q23 were for the domestic market rather than exported (domestic sales carry a lower value than exported cargoes).