In the second part of our series, fund managers explain why they are going against the herd on certain calls.
Chris White manager, Premier Monthly Income fund G4s G4S is an out-of-favour company with an out-of-favour CEO, after a high profile mess of the Olympic contract and an aborted bid for ISS in 2011. However, the company has an organic growth rate of between 5% and 6% driven by its strong businesses in developing markets, which represent about 40% of profits and trades on a prospective PE of 11x. I think that the company will be re-rated this year, as it settles the fine over the Olympic contract and wins further contracts in the UK, thus proving to the bears that it has not been...
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