CSTE

CaesarStone Sdot - Yam Ltd.

Industrial/Transportation


Presented:09/12/2013
Price:$41.93
Cap:$1.45B
Current Price:$4.36
Cap:$0.15B

Presented

Date09/12/2013
Price$41.93
Market Cap$1.45B
Ent Value$1.40B
P/E Ratio28.41x
Book Value$9.14
Div YieldN/A
Shares O/S0.00M
Ave Daily Vol250,000
Short Int1.20%

Current

Price$4.36
Market Cap$0.15B
Caesarstone Sdot-Yam Ltd. manufactures and sells engineered quartz surfaces under the Caesarstone brand primarily in Australia, the United States, Canada, and Israel. Its products consist of engineered quartz slabs, which are used as kitchen countertops in the renovation and remodeling end markets, as well as other applications, including vanity tops, wall panels, back splashes, floor tiles, stairs, and other interior surfaces in various residential and non-residential construction applications. Caesarstone Sdot-Yam Ltd. sells its products directly to fabricators and sub-distributors; and indirectly through a network of independent distributors to fabricators. The company was founded in 1987 and is based in MP Menashe, Israel. Caesarstone Sdot-Yam Ltd. is a subsidiary of Mifalei Sdot-Yam Agricultural Cooperative Society Ltd.

Highlights

The presenter is long shares of CaesarStone (CSTE), and believes the company can expand sales of its engineered quartz-surfaces in North America over the next two-to-three years through increased market share gains as it boosts production capacity. Given the numerous advantages of engineered quartz over alternate materials, the presenter expects more commercial use of quartz countertops along the lines of the recently announced outfitting of 500 Dunkin Doughnuts stores with CSTE’s countertops, and believes the company can grow top-line revenue in the 20%-30% range for the foreseeable future.

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Idea Discussion

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