UHR SW

The Swatch Group Ltd

Consumer


Presented:08/24/2017
Price:CHF377.60
Cap:$21.83B
Current Price:CHF174.65
Cap:$9.37B

Presented

Date08/24/2017
PriceCHF377.60
Market Cap$21.83B
Ent Value$19.47B
P/E Ratio34.64x
Book ValueCHF192.08
Div Yield1.79%
Shares O/S55.65M
Ave Daily Vol195,100
Short IntN/A

Current

PriceCHF174.65
Market Cap$9.37B
The Swatch Group AG engages in the design, manufacture, and sale of finished watches, jewelry, watch movements, and components. It operates through the Watches and Jewelry and Electronic Systems segments. The Watches and Jewelry segment involves in the designs, produces, and markets watches and jewelry. The Electronic Systems segment offers developing, manufacturing, and selling electronic components and sports timing activities. The company was founded by Nicolas G. Hayek in 1983 and is headquartered in Biel, Switzerland.

Publicly traded companies mentioned herein: Apple Inc (AAPL), Compagnie Financiere Richemont SA (CFR VX), The Swatch Group AG (UHR VX)

Highlights

The presenter is long shares of The Swatch Group (UHR VX), seeing upside from a return to growth in Swiss watch exports as well as cost cutting and a more disciplined manufacturing process. Harry Winston is performing well and could put UHR VX on par with competitors who have a strong jewelry presence, like Richemont. Sell-side models underappreciate the potential for top line growth and operating margin improvements according to the presenter, who is modelling 20.00 CHF in 2019 EPS, for a 500 CHF price target on a 25x P/E multiple.

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Idea Discussion

Commentor 1 - 2 weeks ago

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