Intertek, renewable trusts & shares on a tear: The Companies and Markets Show

This week's episode of the Investors' Chronicle's Companies and Markets Show dives into three high-impact corporate stories. First, Intertek (ITRK) is at the center of a transformative period marked by a strategic review, potential business breakup, a rejected private equity bid from EQT, and leadership changes. Despite a struggling share price over the past five years, recent trading results show strong like-for-like growth, particularly in its higher-margin corporate assurance division, offering a glimmer of optimism. The company’s valuation remains discounted relative to peers, raising questions about whether M&A, buybacks, or a split could unlock value. Next, renewable energy investment trusts—such as Greencoat UK Wind, Bluefield Solar, and Foresight Environmental—are seeing renewed interest amid rising power prices due to the Middle East conflict. While not all trusts benefit equally due to varying exposure to market prices, the broader energy transition and inflationary pressures may support long-term upside, though challenges like low wind generation, subsidy uncertainty, and asset liquidity persist. Finally, ASA International (ASAI) emerges as a standout performer, with a 130% share price surge over the past year driven by rapid loan book growth in West Africa and South Asia, strong credit quality (delinquency below 2%), and a digital transformation enabling app-based lending. Despite a low valuation of just 4.4 times earnings and thin trading, the company’s operational leverage and dividend yield of 4.7% make it an intriguing, if niche, opportunity. The episode paints a picture of shifting investor sentiment, strategic reinvention, and structural tailwinds in sustainability and financial inclusion.