New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

<ul><li>We have reviewed our Steel and Tube (STU) earnings forecasts after the recent softer tone to a number of business surveys and our own channel checks that have highlighted stable but not yet improving NZ activity after some green shoots over the first few months of the year.</li><li>While this has resulted in cuts to our near-term estimates, we still expect a pick-up in activity over FY25.</li><li>STU is well positioned for both a continuation of soft activity as well as any rebound in demand, with cost out initiatives progressing well, inventory now largely normalised, and net cash on its balance sheet. </li></ul>

We have reviewed our Steel and Tube (STU) earnings forecasts after the recent softer tone to a number of business surveys and our own channel checks that have highlighted stable but not yet improving NZ activity after some green shoots over the first few months of the year.While this has resulted in cuts to our near-term estimates, we still expect a pick-up in activity over FY25.STU is well positioned for both a continuation of soft activity as well as any rebound in demand, with cost out initiatives progressing well, inventory now largely normalised, and net cash on its balance sheet. 

Steel & Tube Holdings - Recasting Our Estimates