Eddie Stobart Logistics fails to accelerate on Brexit concerns
Eddie Stobart Logistics (ESL:AIM) 136p
Loss to date: -14.2%
Eddie Stobart Logistics (ESL:AIM) has struggled on the stock market as investors are concerned about its ability to deliver growth and returns as Brexit negotiations continue.
The company operates storage facilities across the UK and a fleet of specialist equipment to carry heavy loads and transport cargo for businesses.
Shares in Eddie Stobart Logistics have reversed 14.2% to 136p since we flagged them as a Great Idea in June 2017 despite recently delivering a strong set of annual results (10 Apr).
In the year to 30 November 2017, the company revealed impressive underlying sales growth with revenues rising 9.4% to £623.9m.
The strong performance was driven by the e-commerce division where sales soared 111% to £103.4m.
Eddie Stobart is taking advantage of the fragmented UK market to further build its business through M&A, particularly in e-commerce as more people sell and buy products online.
In 2017, the company completed the acquisition of e-fulfilment specialist iForce, same-day delivery service Speedy Freight and Logistic People.