CKL will likely report to the market early August. While second...

CKL will likely report to the market early August. While second half is likely to be seasonally weaker than first half, there is a good chance they will beat last years underlying profit and report a continued growth outlook.

More compelling is the likely growth in dividend levels as the company finishes the period of aggressive investment that has occurred post-CHH acquisition. CKL already trades on low normalised earnings multiples and a return to 50% payout levels would produce attractive yields.

Management have demonstrated a proven track record in growth and acquisitions and, with the CHH acquisition now close to fully-digested, the market cap should begin to more fully reflect the growth in the business.

I currently have a 12 month price target of $1.10 - $1.18.