Insight Investment Research LLP

Insight Investment Research is a top ranked sell side boutique dedicated to Global Infrastructure equity research. We leverage extensive equity research experience, industry knowledge and strong corporate relationships to produce differentiated independent research and provide new insights on infrastructure stocks (toll roads, airports, telecom towers) and the industry to global institutional investors.

We provide clients with timely, concise and in depth reports based on detailed company and industry models. Coverage includes twenty five stocks across the Infrastructure sector across Europe, South America and Asia Pacific. We are expanding our integrated global coverage in a sector almost exclusively covered by regional analysts.

Why Insight?

Members research

Flagship reports
  • PINFRA: Highest quality EM toll road in our global universe
    15 Nov 2019

    PINFRA generates high FCF from quality, long duration, well diversified assets, 39% covered by globally unique IRR guarantees. We believe the shares over discount weak disclosure and uncertainty over capital allocation, notably its net cash, which should either be distributed as per our model or invested in new projects, likely value accretive to our SOTP.
  • Ferrovial: A roadmap for higher shareholder remuneration
    19 Jul 2019

    We expect after selling Services (est. proceeds €1.3bn in 2020E) Ferrovial will have sufficient capital to invest in new projects and raise shareholder remuneration. Our roadmap for shareholder remuneration includes a €1bn share buyback to raise exposure to 407-ETR and the ML.s and higher ongoing dividend growth backed by raised 407-ETR distributions.
  • Transurban: New DCF value accretion for Washington ML extensions
    03 Jul 2019

    Transurban has a strong record extending its existing concessions and the I-395 and I-95 Fredericksburg Extension will extend its successful Washington managed lane network. We expect reasonably priced time savings and our new DCF.s estimate attractive value accretion.
Latest reports
  • Atlantia: ASPI termination unlikely, share price discounting worse
    03 Dec 2019

    Heightened political tensions have led to ATL’s share price falling -14% in the last month and assuming undervaluation across assets it is 41% below our ASPI Termination Scenario TP of €33. We continue to consider ASPI termination highly unlikely as no serious breach has been ascertained, we est. compensation to equity and bond holders of €21.5bn and funding of desperately needed future improvements to Italian infrastructure would become much more difficult. We raise ATL from 3rd to 2nd of 24 on our Stock Ranking System.
  • Flughafen Zurich: Noida Airport investment seems too risky
    29 Nov 2019

    FHZ has been elected Selected Bidder for a 40-year concession to design, develop and operate the new Noida International airport at Jewar near Delhi in India. Our initial view is that Noida Airport is too risky as it is a large, greenfield investment with construction risk, travel connectivity with Delhi seems difficult and Delhi International Airport appears competitive.
  • Getlink: New JV to enter regional rail as an operator
    25 Nov 2019

    Getlink has signed an JV agreement with RATP (operator of the Paris metro) to enable entry into the regional rail market in France. Although not likely to involve high capex, we view expansion of Getlink’s non infrastructure rail operator business negatively due to the risk of higher cash flow volatility. We raise our TP to €23.0 due to higher shuttle traffic in 19E.
  • Ferrovial: Positive view on I-77 ahead of dynamic tolls starting
    25 Nov 2019

    Ferrovial fully opened the I-77 Express on 16 Nov and it enters dynamic mode on 2 Dec in one week’s time. Despite some initial delays and NCDOT’s plans to convert the hard shoulders into GPL.s (for which we expect compensation), we re-emphasise our positive view on the I-77 and we estimate decent value accretion despite our conservative toll forecasts.
  • Eiffage: Value accretive raising APRR stake, TP up to €154
    21 Nov 2019

    Eiffage is buying 2.0% of Eiffarie via MAF2, although a small deal, we raise our TP by €3 to €154 as the investment is part funded by a shareholder structure break fee from Atlas Arteria, the price is at a discount to our Eiffarie valuation and Eiffage receives a new annual management fee from APRR. To us, it indicates upside to APRR in Eiffage’s share price.
  • Inwit: Shares still not pricing in highly value accretive merger
    19 Nov 2019

    Inwit’s board has approved the plan to merge Vodafone Towers into Inwit. Although the EU approval process is taking longer, we believe corporate elements of the merger are on track and the special dividend beat our expectations. Although, we reduce our “New Inwit” scenario weighted TP from €16.3 to €14.7, it is mostly related to higher Italian bond yields.
  • Flughafen Zurich: Tariff decree little impact but TP cut on traffic & bond yields
    12 Nov 2019

    The FOCA has issued a decree under the Ordinance on Airport Charges (OAC) to cut tariffs -15% from 1 April 2020 due to overearning vs. the cost covering principal. Although less tariff cuts than already in our model, such intervention is a negative sign during current negotiation with airlines for tariffs from 9/2020. Separately, we reduce our EBITDA and EPS on lower traffic and our TP to CHF234, also partly due to higher Swiss bond yields/ COC.
  • Atlantia: 9M: Resilient despite Polcevera bridge costs
    10 Nov 2019

    ATL has reported 9M 2019 EBITDA of €5,698m, +1.0% LFL incl. Abertis, 1% below Insight but resilient given the Polcevera bridge collapse. We raise our EBITDA on RCO, reduce EPS on Abertis PPA and lower our TP to €43 on higher Italian Motorways maintenance costs.
  • Ferrovial: Raising Managed Lanes valuation to €12bn
    28 Oct 2019

    We raise our equity valuation for Ferrovial’s Managed Lanes (ML.s) from €10bn to €12bn and our TP to €47. We remove our new asset risk premium and include refinancing for NTE and LBJ. Our behavioural analysis of users suggests light vehicles mostly have low usage and low monthly bills, thus inelasticity to tolls. For NTE-35W, we now forecast heavy vehicle traffic separately, with higher growth than light vehicles, leading to a positive mix on revenues.
  • Sydney: Productivity Commission confirms regulatory continuity
    22 Oct 2019

    The Productivity Commission has published its final report on Economic Regulation of Airports, concluding Australia’s top 4 airports do not exercise market power detrimental to the community and light touch monitoring should continue. We believe SYD’s share price rise in the last 12M can be attributed to falling bond yields/ COC and is over discounting near term slowing traffic growth but our TP of A$15.0 is more dependent on long term international traffic.
  • Atlantia: New DCF indicates RCA acquisition value accretive
    13 Oct 2019

    Abertis has agreed to acquire 50.1% of RCA, a toll road network in Mexico for €1.5bn, which we consider attractive. We rate the market in Mexico one of the most attractive in our global toll road universe. Our RCA DCF estimates solid value accretion. To us, the transaction highlights undervaluation of even higher quality Mexican peers, PINFRA and Aleatica.
  • Cellnex: Strategically sound Arqiva deal, slight value accretion
    12 Oct 2019

    Cellnex has agreed to acquire 7,400 of Arqiva’s UK telecom sites and rights to market c900 sites, becoming the UK’s top independent tower operator, ahead of increasing network densification, 5G upgrades and Small Cell rollout. We raise our EBITDA and TP €1 to €52.

Why Insight? 

We understand our clients needs, produce research product to achieve them, do what we say we will do, have fun and play to win. 

Why Insight?  »

Our approach

A niche non traditional sector requires a specialist solution. We concentrate on thoughtful, thorough, insightful analysis not maintenance research and challenge market views. 

Our approach »

Legal

Website Terms of Use 

Legal »