European Mining And Oil Stocks At 25 Year Lows On P/B

Morgan Stanley Europe analysts Matthew Garman, Graham Secker, Krupa Patel and Hanyi Lim take a shine to the neglected and oversold Energy and Mining sectors in their March 31, 2014 research note on European equity strategy. “While macro fundamentals in EM remain largely bearish, the low valuations and depressed sentiment mean the outlook for related sectors is now more attractive than it has been for some time,” say the analysts, referring to commodity sectors such as energy and materials. European commodity plays may benefit from improvement in EM fortunes They point out that earnings disappointments and valuation de-ratings have driven…