Stock Watch - Farmland Partners and Admiral Group
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Drikus Combrinck from Capicraft chose Farmland Partners Pref share as his stock pick of the day and Jean Pierre Verster from Protea Capital Management chose Admiral Group.
Combrinck said: "My pick is Farmland Partners is listed REIT in the US. I'm buying the preferred as well, the preferred is actually my stock pick and the preferred share yields about 6% at the stage. But they've got a kicker and the kicker is that you get 50% of the participation in a broad index of farmland in the US which I am bullish on. And if that doesn't realize you still get your 6%."
Verster said: "My stock pick is a short-term insurer listed in the UK called Admiral Group, they focus on motor vehicle short-term insurance. They have very good underwriting margins, combined ratios in the 80s as a percent which is world-class. They are growing their market share is and it is increasing in the UK and they've expanded to Europe and the US as well"
Combrinck said: "My pick is Farmland Partners is listed REIT in the US. I'm buying the preferred as well, the preferred is actually my stock pick and the preferred share yields about 6% at the stage. But they've got a kicker and the kicker is that you get 50% of the participation in a broad index of farmland in the US which I am bullish on. And if that doesn't realize you still get your 6%."
Verster said: "My stock pick is a short-term insurer listed in the UK called Admiral Group, they focus on motor vehicle short-term insurance. They have very good underwriting margins, combined ratios in the 80s as a percent which is world-class. They are growing their market share is and it is increasing in the UK and they've expanded to Europe and the US as well"