The 2014 All-Europe Research Team: Transport, No. 3: Jarrod Castle, Dominic Edridge & team

< The 2014 All-Europe Research Team

Jarrod Castle, Dominic Edridge & team

First-place appearances: 17

Total appearances: 43

Team debut: 1986

UBS slips one rung to the third position, but the trio directed by London-based Jarrod Castle and Dominic Edridge still delivers “great breadth and depth of coverage,” in the words of one portfolio manager. Indeed, the researchers have expanded their coverage universe by seven stocks over the past year, to a total of 34. In January 2013 they touted the U.K.’s International Consolidated Airlines Group, boosting the stock from neutral to buy on valuation. Formed by the 2011 merger between British Airways and Spanish flag carrier Iberia, Líneas Aéreas de España, International Consolidated is Europe’s third-largest airline group, by revenue. By the end of the December, the shares trading on the Bolsa de Madrid had more than doubled, to €4.84, better even than the sector’s 30.4 percent jump. The passenger and cargo carrier remains a top pick for this year, on increasing revenue and margins. Another current favorite is German tourism and logistics provider Tui. Last March the analysts relaunched coverage on the name with a buy rating, crediting Tui’s restructured tourism business, earnings momentum in European travel markets and low debt levels. Through year end the stock soared 49.4 percent, to €11.98, trumping the sector by 21.5 percentage points.

See also Jarrod Castle and Dominic Edridge’s profile in the 2013 All-Europe Research Team.