CONSTRUCTION and mining are at present not easy sectors in which to be doing business. Consequently, Eqstra, whose core business is the distribution, leasing and rental of mobile capital equipment — mostly forklifts — has been struggling. Over the past year the share price lost close to 50%.
Yet recently there has been a sudden revival, and the share price has taken off, gaining more than 30% the past 30 days, and more than 40% the past 90 days, just about wiping out the full-year decline.
Part of the improvement came after Eqstra published decent interim results to December for a company in difficult markets. But the share price often improves before the numbers come out, and this has been the case with Eqstra.
by Shaun Harris