Want to invest in Car Wraps?

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My dream car- a chrome warp GTR

So recently i see a lots of car wrapping companies are popping out in Singapore and it gave me the idea to look into companies that supplies the wrapping material. The two main industry player is 3M and Avery Diversion.

3M (MMM)is one of the most renown and trusted names in the world. Household products like Nexcare, Post-it, Scotch, Scotch-Brite, and Scotchgard are market leaders in their individual categories. The company remains focused on inventing new products, with its scientists and innovators enjoying a competitive advantage worldwide. The company expects to further leverage its balance sheet to provide higher returns to shareholders. 3M is investing heavily to bolster its competitive edge in the future. At the same time, the company is continuing with its portfolio restructuring efforts by divesting assets that no longer fit in its strategy and continues to make investments in other lucrative markets.

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For 2016, Avery Dennison (AVY) raised its adjusted earnings per share guidance to $3.95–$4.00 from the previous range of $3.80–$3.95. This reflects the better-thanexpected third-quarter operating results, including the lower expected tax. Avery projects more than $75 million from restructuring savings, net of transition costs for the year. Constant focus on productivity and capital discipline will help in delivering strong returns for its shareholders. Moreover, consistent execution of strategies will facilitate long-term goals for superior value creation.

Avery Dennison’s results reflected continued outperformance in Pressure-sensitive
materials (PSM). Its goal in PSM has been to create value by organically growing the
top line of this high return business at 4% to 5%, while expanding operating margin. The company remains focused in shifting PSM’s portfolio mix towards high-value graphic and specialty labels materials. Avery Dennison expects to benefit over the long term from
continuous investment in these areas.

If you noticed that i have a small stake in AVY in my portfolio. Currently AVY is doing badly comparing to it’s competitors. I am looking at a 10% upside.

Entry price 70.78

TP 76-78

avy

 

 

 

 

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