PPHC leader recognised as Lobbyist of the Year. PPHC has announced that Keenan Austin Reed, Executive Vice President at Alpine Group Partners, one of the group's seven operating companies, has been recognised as Lobbyist of the Year. The Reginald 'Reg' Gilliam Lobbyist of the Year Award is granted annually to an outstanding African American lobbyist. It is selected by the Washington Government Relations Group, a non-partisan association that aims to enhance leadership prowess and careers of African American government relations professionals. The Award is named after Reg Gilliam, a renowned lobbyist and one of the first African Americans to achieve senior status in the US Senate. He was the founder of the Harvard Black Law Student Association and served as its first Chair. The Award recognises Keenan's career excellence, achievements in government relations and contributions to her community. Alpine, which PPHC acquired in 2020, is consistently ranked as one of the top lobbying firms in Washington DC. The firm provides strategic advice to help clients successfully navigate the halls of Congress, the White House and federal agencies.
Stewart Hall, CEO of PPHC, said: "As a group of companies, celebrating our talent is fundamental to ensuring that we foster an inclusive and rewarding culture across our businesses. The recognition of Keenan as a leading lobbyist confirms her as top talent. We are very proud of her achievements and her ongoing commitments to driving positive change. Diversity is central to the provision of effective lobbying and Government relations services, and we are honoured to have role models like Keenan within our business."
We are Buyers with a 240p target price. We view the current valuation (FY23E P/E of <8x) as highly attractive for a market-leading business with a strong track record, and see significant value creation potential through ongoing delivery of both organic and acquisitive initiatives. We expect strong strategic execution to close the current valuation discount to UK- and US-listed professional services and communications peers as PPHC's track record as a listed business builds. A dividend yield of c.9% supports our investment case.
Price as of the close 25 July 2023.
Target price methodology/risks
Our target price is based on a discounted cash flow analysis (WACC 11%, growth 2%).
The key risks to the downside are the loss of senior fee earners, a material increase in competition in the US lobbying and PR markets and a wider slowdown in the US economy.
Important Disclosures and Certifications
I, Sam Dindol, research analyst, certify that the views expressed in this research report accurately reflect my personal views about the subject securities or issuers; and I, Sam Dindol, certify that no part of my compensation was, is, or will be directly or indirectly related to the specific recommendations or views contained in this research report.
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For a price chart with our ratings and any applicable target price changes for PPHC.LN go to
http://stifel2.bluematrix.com/sellside/Disclosures.action?ticker=PPHC.LN
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Stifel or an affiliate owns 1% or more of a class of common equity securities of Public Policy Holding Company Inc.. Public Policy Holding Company Inc. is provided with non-investment banking, securities related services by Stifel or an affiliate or was provided with non-investment banking, securities related services by Stifel or an affiliate within the past 12 months.
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The recommendation contained in this report was produced at 26 July 2023 02:59EDT and disseminated at 26 July 2023 02:59EDT.
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