ISS EVA Research Roundup: April 9th, 2026 

Weekly Research 

Names in the News: DIS & BTI (report) 

This week, we cover The Walt Disney Company (DIS, ‘Overweight’) and British American Tobacco p.l.c. (BTI, ‘Overweight’). DIS, under new CEO Josh D’Amaro, is reportedly preparing to cut up to 1,000 jobs as part of a broader cost-cutting effort. We also look at BTI. The firm has appointed former executive Dragos Constantinescu as its CFO, effective as of September. Constantinescu had earlier spent 16 years at BTI before moving to Asahi Breweries (2502 JP, ‘Hold’), Japan’s largest brewer. 

Global Sector Scorecard: Expectations Pull Back but Remain Elevated (report) 

The EVA-adjusted consensus outlook for economic Profitability has been nudged up in March. The correction in expectations in March has been relatively small given we were at 23-year highs at the end of February. If growth concerns mount due to higher energy costs and higher rates, then markets have further to fall. If the conflict in the Middle East moves beyond a temporary cease-fire, the current path of improving value creation is likely to continue into 2027. 

Consumer Discretionary: Finding Diamonds in the Rough (report) 

We started off 2026 with an ‘Underweight’ stance on the global Consumer Discretionary sector, noting pressured EVA Fundamentals and relatively high Valuations. The sector has the lowest returns YTD and EVA Fundamentals have yet to show signs of bottoming out. In this paper, we discern firms that have seen an improvement in PRVit over the past quarter and currently look attractive in the framework, versus names that moved in the opposite direction. 

Weekly Watchlist: Tracking the Top EVA Changes (report) 

This week we take a deep dive into three ‘Overweight’ firms: EMS-CHEMIE Holding AG (EMSN SW); Bureau Veritas SA (BVI FP, upgraded from ‘Hold’); and Conagra Brands, Inc. (CAG). 

Industry Snapshot: Global Semiconductor & Semiconductor Equipment (report) 

EVA Momentum, which has been on an upward trend for over two years, reached 8.7% in March 2026. EVA Margin saw eight sequential quarters of expansion, supported by increasing profitability and lower capital charges. Roughly 75% of the industry’s current market value is dependent on future value creation, with Future Growth Reliance trading close to 15-year highs as of March end. 

Quant Reports 

PRVit Factor Report: Europe and the United Kingdom (report) 

In Europe, cheap Value slipped in early March but then rebounded sharply in the last 2 weeks of the month. Low-Risk companies outperformed high-Risk companies, but the outperformance of Risk was offset by negative alpha in our Profitability factor. In the U.K., cheap Value stopped driving the market in mid-February as investors switched to favoring Quality. Like Europe, investors were Risk-off, but Profitability continued to work. 

PRVit Factor Report: Asia and Japan (report) 

In Asia ex. Japan, cheap Value rolled over in late February but picked up again by the second week of March. Quality was off in March but did show signs of rebounding in early April. PRVit had trended down in H2 2025 but has been recovering since mid- January. In Japan, our Value factor resumed its strong run at the end of March after dipping in late February/early March. 

Quant Corner: April 9, 2026 (report) 

Risk was positive everywhere last month, but in the first 8 days of April, investors have shifted back to Risk-on as our Risk factor was negative in all regions. Profitability worked in all regions except the U.S. Cheap Value outperformed expensive Value in the U.S. but was off in all other regions. PRVit generated alpha in Europe.