Robert Stovall Sasol Ltd.-ADR SSL-N TOP PICK Jun 25, 2004

SSL is an integrated chemical and mining company based in South Africa.  It trades under 10x earnings, under book value and supports a ROE of 21%.  We like how cash reserves are growing while the company is reducing debt aggressively and buying back shares.  We recommend placing a stop loss at $11, looking to achieve $25 — upside potential over 50%.  Yield 4.5%

Our PAST TOP PICK with SSL is stalling.  To remain disciplined, we recommend trailing up the stop (from $11) to $12 at this time.

Our PAST TOP PICK with SSL has triggered its stop at $12.  To remain disciplined, we recommend covering the position at this time.  

SSL is a South African based integrated energy business, focusing on energy transition and decarbonization.  It trades at 8x earnings, under book value and supports a 21% ROE.  It's dividend is a bit erratic, but its current yield is attractive with a payout ratio under 30% of cash flow.   We recommend placing at stop loss at $11, looking to achieve $20 -- upside potential of 50%.  Yield 4.5%   

Our PAST TOP PICK with SSL is progressing well.  To remain disciplined, we recommend trailing up the stop (from $11.00) to $12.50 at this time. 

Our PAST TOP PICK with SSL has triggered its stop at $12.50.  To remain disciplined, we recommend covering the position at this time.