U.K. Capital Goods Undervalued over 20% based on DCF

QinetiQ Group

Market Cap: UK£2.5b

Provides science and technology solution in the defense, security, and infrastructure markets in the United Kingdom, the United States, Australia, and internationally.

Grafton Group

Market Cap: UK£1.7b

Distributes and sells building materials and construction related products in Ireland, the United Kingdom, Ireland, the Netherlands, Finland, and Spain.

Keller Group

Market Cap: UK£1.5b

Provides specialist geotechnical services in North America, Europe, the Middle East, and the Asia-Pacific.

Senior

Market Cap: UK£1.2b

Designs, manufactures, and sells high-technology components and systems for the original equipment manufacturers in the aerospace, defense, land vehicle, and power and energy markets in the United States, the United Kingdom, and internationally.

Vesuvius

Market Cap: UK£1.1b

Provides molten metal flow engineering and technology services to steel and foundry casting industries worldwide.

Genuit Group

Market Cap: UK£758.7m

Develops and produces solutions for water, climate, and ventilation management in the construction industry in the United Kingdom, rest of Europe, and internationally.

Renew Holdings

Market Cap: UK£744.1m

Provides engineering services in the United Kingdom and rest of Europe.

Morgan Advanced Materials

Market Cap: UK£590.3m

Manufactures and sells various carbon and ceramic products.

Ashtead Technology Holdings

Market Cap: UK£379.6m

Provides subsea equipment rental solutions for the offshore energy sector in Europe, the Americas, the Asia-Pacific, and the Middle East.

XP Power

Market Cap: UK£378.1m

An investment holding company, designs, manufactures, and sells power supply solutions in Europe, North America, and Asia.

Norcros

Market Cap: UK£266.9m

Designs and supplies bathroom and kitchen products in the United Kingdom, Ireland, and South Africa.

Andrews Sykes Group

Market Cap: UK£203.0m

An investment holding company, engages in the hire, sale, and installation of environmental control equipment in the United Kingdom, Rest of Europe, the Middle East, Africa, and internationally.

BRCK Group

Market Cap: UK£179.9m

Distributes specialist products and services to the construction industry in the United Kingdom.It operates through four segments: Bricks and Building Materials; Importing; Distribution; and Contracting.

Eurocell

Market Cap: UK£111.4m

Engages in manufacture, distribution, and recycling of windows, doors, and roofline polyvinyl chloride (PVC) building products in the United Kingdom and the Republic of Ireland.

Speedy Hire

Market Cap: UK£97.7m

Provides tools and equipment hire and services to the construction, infrastructure, and industrial markets in the United Kingdom and Ireland.

Billington Holdings

Market Cap: UK£49.6m

Through its subsidiaries, provides structural steel and construction safety solutions in the United Kingdom and Europe.

J. Smart (Contractors)

Market Cap: UK£44.6m

Engages in the contracting, developing, and constructing public works, shopping centers, offices, factories, warehouses, local authority, and landlords and private housing projects in the United Kingdom.

Lords Group Trading

Market Cap: UK£30.8m

Distributes building materials, plumbing, heating, and DIY goods to local tradesmen, developers, small and medium construction companies, and retail customers.

Titon Holdings

Market Cap: UK£8.4m

Designs, manufactures, and supplies mechanical ventilation systems, and window and door hardware products in the United Kingdom, North America, Europe, and internationally.

LPA Group

Market Cap: UK£6.9m

Engages in the design, manufacture, and marketing of industrial electrical and electronic products in the United Kingdom, rest of Europe, and internationally.