Daily BriefsIndustrials

Daily Brief Industrials: Adi Sarana Armada, Danaher Corp, Illinois Tool Works and more

In today’s briefing:

  • Adi Sarana Armada (ASSA IJ) – Harnessing Logistics and Autos
  • Danaher Corporation: Initiation of Coverage – Business Strategy & Key Drivers
  • Illinois Tool Works Inc.: Initiation of Coverage – Diversified Business Lines & Other Drivers
  • Danaher Corporation: Detailed Credit Analysis & Financial Strength Evaluation Report
  • Illinois Tool Works Inc.: Initiation of Coverage – Financial Forecasts

Adi Sarana Armada (ASSA IJ) – Harnessing Logistics and Autos

By Angus Mackintosh

  • Adi Sarana Armada (ASSA IJ) continues to represent a unique proxy to play both transport and logistics in Indonesia through its auto business plus logistics including last-mile player Anteraja. 
  • ASSA Rent is the largest car leasing leader in Indonesia, with Autopedia leading auto auctions and a leader in used car sales through Caroline, which is expanding its presence fast. 
  • Anteraja has seen rapid growth and may see some slowdown from e-commerce but continues to gain share and ASSA logistics continue to diversify. Valuations are attractive on 10x FY2023E PER.

Danaher Corporation: Initiation of Coverage – Business Strategy & Key Drivers

By Baptista Research

  • This is our first report on Danaher Corporation, a well-known manufacturer and provider of instruments and various other offerings to the medical, diagnostics, and environmental sectors.
  • The company had a strong quarter and managed to surpass Wall Street expectations in terms of revenues as well as earnings.
  • It delivered market share gains and strong price execution amid strong foreign exchange headwinds and an inflationary environment.

Illinois Tool Works Inc.: Initiation of Coverage – Diversified Business Lines & Other Drivers

By Baptista Research

  • This is our first report on industrials giant, Illinois Tool Works.
  • The company achieved a 13% revenue increase on the top line, with 16% organic growth from its core businesses which is a good sign.
  • While the recent results were good, Illinois Tool Works is far from being immune to the potential macro problems and uncertainties ahead.

Danaher Corporation: Detailed Credit Analysis & Financial Strength Evaluation Report

By Baptista Research

  • Danaher Corporation is a renowned manufacturer and provider of instruments and various other offerings to the medical, diagnostics, and environmental sectors.
  • The company has had a decent financial performance off-late and has been consistently delivering market share gains and strong price execution amid strong foreign exchange headwinds and an inflationary environment.
  • Its acquisition-led growth strategy implies that it will be in regular need for debt in order to fund acquisitions.

Illinois Tool Works Inc.: Initiation of Coverage – Financial Forecasts

By Baptista Research

  • Illinois Tool Works is an industrials major catering to a wide variety of end markets ranging from automotive to welding and construction projects.
  • The company’s financial performance has been decent despite the fact that the operating climate is still quite dynamic and challenging.
  • While the recent results were good, Illinois Tool Works is far from being immune to the potential macro problems and uncertainties ahead.

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