Edison Issues Outlook on Cohort (CHRT)

Oct 04, 2016, 07:57 ET from Edison Investment Research

LONDON, October 4, 2016 /PRNewswire/ --

Cohort continues to successfully execute on its strategy of building a specialist defence technical advisory company, with innovative, flexible and specialist subsidiaries able to focus on organic opportunities. Strategic acquisitions such as the recently acquired EID augment growth, and extend reach both technically and geographically. The combination is delivering increasing shareholder returns. Our fair value stands at 439p, implying significant potential for shareholders.

     (Logo: http://photos.prnewswire.com/prnh/20130417/608168 )

We now calculate fair value as a simple average of a calendar year 2017 peer group based sum-of-the-parts (SOP) and a capped DCF. This currently provides an implied fair value of 439p, compared to 387p previously. That is equivalent to a 9% P/E ratio premium to the UK aerospace and defence peers. We believe this to be warranted as Cohort continues to deliver above-average returns and pursues its growth strategy.

Click here to view the full report.

All reports published by Edison are available to download free of charge from its website http://www.edisoninvestmentresearch.com.

About Edison: Edison is an international equity research firm with a team of over 110 analysts, investment and roadshow professionals and works with both large and smaller capitalised companies, blue chip institutional investors, wealth managers, private equity and corporate finance houses to support their capital markets activity. Edison provides services to more than 420 retained corporate and investor clients from offices in London, New York, Frankfurt, Sydney and Wellington. Edison is authorised and regulated by the Financial Conduct Authority.

Edison is not an adviser or broker-dealer and does not provide investment advice. Edison's reports are not solicitations to buy or sell any securities.

Contact details: Learn more at http://www.edisongroup.com and connect with Edison on:  

LinkedIn http://www.linkedin.com/company/edison-investment-research

Twitter  http://www.twitter.com/Edison_Inv_Res

YouTube  http://www.youtube.com/edisonitv

Google+  https://plus.google.com/105425025202328783163/posts

For more information please contact:
Andy Chambers              
Edison Investment Research                

Roger Johnston              
Edison Investment Research                


SOURCE Edison Investment Research