Millions of people across the Northern Hemisphere will have the chance to witness a solar eclipse on August 12, with a narrow path of totality crossing remote Arctic regions, Iceland and northern Spain while a much broader partial eclipse stretches across Europe, parts of North Africa and northeastern North America.
The total solar eclipse occurs when the Moon completely covers the Sun’s disk, briefly darkening the sky and revealing the solar corona. Greatest eclipse takes place over the North Atlantic near Iceland, where totality is expected to last up to 2 minutes and 18 seconds. The path of totality is relatively narrow, roughly 180 to 190 miles wide at points, and will sweep from the Arctic across eastern Greenland, western and northern Iceland, then southeast across the Atlantic to make landfall in northern Spain before ending near the Balearic Islands around sunset.
Approximately 15 million people live within or near the path of totality. Nearly one billion people could potentially see at least a partial eclipse, according to visibility estimates.
In Iceland, Reykjavik sits near or within the path. Partial phases are expected to begin in the late afternoon, with totality around 5:48 p.m. to 5:49 p.m. local time lasting roughly one minute, followed by the end of partial phases near 6:47 p.m. Western coastal areas of Iceland may experience slightly longer periods of totality. Viewers there will see the event in the late afternoon under typically cool summer conditions.
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In northern Spain, the eclipse arrives later in the day. In León, partial phases begin around 7:32 p.m. local time, with totality from approximately 8:28 p.m. to 8:30 p.m. Similar timing applies to Zaragoza and other cities along the path. In Valencia and areas toward the Mediterranean coast, totality occurs shortly after 8:30 p.m., with the Sun low in the sky and, in some locations, setting while still partially eclipsed. A small northwestern corner of Portugal also falls inside the path for a brief period of totality near sunset.
Outside the path of totality, a deep partial eclipse will be visible across much of Europe. In many western and central European cities the Moon will cover 85 to 95 percent or more of the Sun’s disk in the evening. London, Paris and other major cities will experience significant coverage before or around sunset. Further east, the Sun may set while still partially eclipsed, limiting the deepest phase for some observers.
In North America, no locations will see totality. A partial eclipse will be visible across parts of Alaska, much of Canada and the northeastern United States. Coverage is greater in Atlantic Canada, where more than half the Sun may be obscured in places such as Newfoundland. In New England and nearby areas, the percentage is lower, typically in the teens or less in major cities such as Boston and New York, occurring in the early to mid-afternoon local time. Western and southern portions of the continent will see little or none of the event.
Safety remains the top priority for any viewing. Looking directly at the Sun without proper protection can cause serious and permanent eye damage. Certified solar eclipse glasses that meet the ISO 12312-2 international safety standard are required for the partial phases. Only during the brief period of totality, when the Sun is completely covered, is it safe to look with the naked eye—and only then. As soon as the bright photosphere begins to reappear, protective filters must be used again. Ordinary sunglasses, homemade filters or unfiltered cameras and binoculars are not safe.
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Many observers plan to use indirect viewing methods as well, such as pinhole projectors or projecting the Sun’s image through binoculars onto a white surface. Weather will play a major role. Coastal and northern locations along the path can experience variable cloud cover in August. Spain’s interior and Mediterranean regions often offer clearer skies in late summer, though evening haze or local conditions can affect the view of a low Sun.
The eclipse belongs to Saros series 126. Because it occurs near perigee, the Moon appears relatively large in the sky, supporting a longer maximum duration of totality than some other eclipses in the cycle. The entire event, from first partial contact to last, spans roughly four hours globally, though any single location experiences a shorter sequence of phases.
Astronomers and space agencies have prepared detailed maps and local timing calculators so people can determine exact contact times for their coordinates. Greatest eclipse occurs at approximately 17:46 UTC. The shadow’s journey across Earth lasts a little more than 90 minutes from the first appearance of the umbra to its final departure.
For those outside the path, live broadcasts from locations in Iceland and Spain are expected to provide real-time views of totality. Local astronomy clubs, science centers and tourism organizations in the path countries have organized viewing events, with safety briefings and equipment checks emphasized.
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The August 12 eclipse offers a relatively accessible total solar eclipse for residents of Iceland and northern Spain compared with more remote polar paths. It also provides a widespread partial experience for large populations across Europe. Clear skies, proper eye protection and accurate local timing will determine how much of the celestial alignment any individual observer is able to witness.
Shares of Dynamatic Technologies gained 12% to Rs 12,261 on the BSE on Monday after it reported a net profit of Rs 20.79 crore for the quarter ended June 30, 2026, compared with Rs 10.77 crore in Q1 FY26. Revenue stood at Rs 424.81 crore, up 14.5% from Rs 370.93 crore in the year-ago quarter.
EBITDA rose 45.9% to Rs 55.11 crore from Rs 37.78 crore in Q1 FY26. EBITDA margin improved to 13.0%, up 280 basis points from the year-ago period. EBIT increased 83.7% to Rs 35.43 crore from Rs 19.29 crore, while EBIT margin stood at 8.3%, up 310 basis points.
The aerospace segment remained the largest contributor to revenue, with revenue rising 17.0% to Rs 202.25 crore from Rs 172.92 crore in Q1 FY26. Hydraulics revenue increased 9.4% to Rs 116.04 crore from Rs 106.12 crore, while metallurgy revenue rose 15.7% to Rs 106.31 crore from Rs 91.88 crore.
Commenting on the results, Udayant Malhoutra, CEO and Managing Director, said the aerospace segment continued to be the major contributor to revenue, supported by execution across key commercial aerospace programmes and an improved product mix, aided by the ramp-up of sheet metal and detail parts at the wholly owned subsidiary, Dynamatic Manufacturing Limited.
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The Airbus A220 doors programme made steady progress during the quarter, reflecting the company’s growing capabilities in complex aerostructure manufacturing and reinforcing its position within the global aerospace supply chain.
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Aerospace outlook
Dynamatic said the aerospace business continues to benefit from increasing opportunities across commercial aviation and defence systems. The continued ramp-up and growing contributions from these programmes are expected to support long-term business visibility and strengthen the company’s position in the global aerospace value chain.
Hydraulics outlook
The hydraulics segment is expected to benefit from continued demand across the agriculture sector, domestic OEMs, industrial applications and infrastructure-led sectors in India. Continued optimisation of the UK operations, along with the completion of product-line rationalisation between Bengaluru and Swindon, is expected to strengthen competitiveness and support a more efficient operating structure over the medium term.
Metallurgy outlook
While market conditions in Europe remain to be watched closely, the company said early signs of demand recovery at Erla, together with its continued focus on aerospace, defence and specialised engineering applications, are expected to support further improvement in profitability over the medium term.
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Interim dividend
The board approved the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, along with the limited review reports by the company’s statutory auditors.
The board also declared an interim dividend of Rs 3 per equity share with a face value of Rs 10 each for FY27. The record date for determining the shareholders eligible to receive the interim dividend is August 14, 2026. The interim dividend will be paid to shareholders within the statutory timelines.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
NEW YORK — Monday’s edition of The New York Times’ Connections puzzle sent players hunting through overlapping categories tied to shipping tickets, invoices and facial hair, in a grid that puzzle columnists described as leaning harder on wordplay than straightforward vocabulary.
Connections, published daily by the Times as part of its expanding suite of word games, presents 16 words or phrases that must be sorted into four hidden groups of four. Each group shares a common theme, and the puzzle is color-coded by difficulty, with yellow generally representing the most straightforward category and purple the most challenging. Players are permitted up to four incorrect guesses before the game ends, and, unlike Wordle, there is no penalty tied to the number of guesses used within that limit.
Monday’s puzzle, numbered 1156, grouped its 16 entries into four categories: words and phrases meaning “haphazardly,” ways to receive event tickets, sections commonly found on an invoice, and a category built around famous goatees.
The yellow group, typically the easiest of the four, was built around phrases meaning “in a disorganized or random way.” It included “any old how,” “at random,” “helter-skelter” and “willy-nilly” — four expressions that all describe a lack of order or plan, though their varying phrasing led some players to initially sort them into unrelated groups before recognizing the shared theme.
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The second category asked players to identify ways to receive tickets to an event, grouping “mail delivery,” “mobile ticket,” “print-at-home” and “will call.” Puzzle commentators noted that this category required players to think beyond the physical tickets themselves and focus instead on the method of delivery, a distinction that tripped up some solvers who initially grouped ticket-related terms by venue type or event category instead.
The third group centered on sections commonly found on an invoice, pulling together “balance due,” “bill to,” “order number” and “unit price.” This category proved to be a common stumbling block for players unfamiliar with standard invoice formatting, since several of the terms could plausibly fit into other business or finance-themed groupings elsewhere in the puzzle.
The fourth and most difficult category, marked purple, asked players to identify famous goatees, linking “billy goat,” “Colonel Sanders,” “Doctor Strange” and “the devil” under a single, more abstract theme. One puzzle columnist who writes a regular Connections hints column for a technology outlet described the process of untangling that group by recalling a children’s nursery rhyme, saying the key to spotting the connection was thinking of the phrase “not by the hair on my chinny chin-chin,” which led to picturing Colonel Sanders’ well-known white facial hair before connecting the rest of the group.
Connections has become one of the most closely watched entries in the Times’ games lineup since its wider rollout, following the runaway success of Wordle, which the Times acquired in early 2022. The puzzle rewards lateral thinking over straightforward vocabulary knowledge, since individual words can often plausibly belong to more than one category, a design choice intended to create red herrings that complicate early guesses. Puzzle strategists commonly recommend that players first scan the full grid for words that seem to fit a category with unusual confidence, then hold off on submitting a guess until they can also account for the remaining twelve words logically fitting into the other three groups.
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Monday’s puzzle arrived alongside the Times’ newer Connections: Sports Edition, a spinoff produced in partnership with The Athletic that applies the same grouping format to sports-specific terminology. That edition’s puzzle for August 10 focused on categories tied to tennis scoring, baseball fundamentals, football team leadership and types of protective gear, according to hint columns published Monday. The sports spinoff has expanded the Connections format to a new audience of sports-focused puzzle fans since its debut, running alongside the standard puzzle each day rather than replacing it.
The Times does not disclose internal difficulty ratings for individual Connections puzzles, but outlets that publish daily hint columns generally rank each day’s difficulty based on reader feedback and the pattern of mistakes commonly reported by solvers. Monday’s puzzle was described by several of those columns as moderately challenging, with the purple goatee-themed category singled out as the primary source of difficulty given its reliance on visual recognition and pop-culture familiarity rather than a straightforward dictionary definition.
Connections is part of a broader daily routine for millions of puzzle enthusiasts who also complete Wordle, the Mini Crossword and Strands each morning, all of which reset at midnight in each player’s local time zone. The four games have become a fixture of the Times’ digital subscription strategy, with the company regularly citing engagement with its games portfolio as a driver of subscriber growth in its quarterly earnings reports.
Players who missed Monday’s puzzle or want to revisit past solutions can access the Connections archive through the Times’ Games app for subscribers with All Access or Games-specific subscriptions, which allow access to every previous day’s puzzle. A new Connections puzzle, along with a new Connections: Sports Edition, Wordle and Mini Crossword, will be published at midnight Tuesday.
The five unit scheme in Llandeilo is a joint venture between the Welsh Government and Carmarthenshire County Council
One of the new business units in Llandeilo.
A five business unit development in Llandeilio has been completed in a joint venture between the Welsh Government and Carmarthenshire County Council.
More than £3m has been committed by the Welsh Government in the 7,000 sq ft scheme at Beechwood Industrial Estate. The development forms part of the Welsh Government’s property delivery plan and supports Carmarthenshire County Council’s ten towns initiative.
Built by Welsh contractor Korbuild, the units have been designed to keep energy costs down and reduce carbon emissions. Features include solar panels, electric vehicle charging points, high levels of insulation, sustainable drainage and the flexibility to add battery storage in future.
The project has also delivered benefits for businesses across the region. Solar Save Renewables, which installed the solar energy system, is based less than a mile from the site.
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There has already been strong interest in the units from businesses, with one of the larger units expected to be occupied soon.
Managing director of Korbuild, Mark Cotter, said:“Korbuild were delighted to work with Welsh Government, Carmarthenshire County Council and Rhomco on the successful completion of the Beechwood Industrial Estate project.
“From its energy-efficient design to the involvement of local suppliers, this development demonstrates how sustainable construction can support both businesses and communities.”
Carmarthenshire County Council’s cabinet member for regeneration, leisure, culture and tourism, Hazel Evans, said: “These high-quality business units are a significant investment in the future of Llandeilo and the wider region. By providing modern, energy-efficient space for businesses to establish and grow, we are supporting job creation, strengthening local economies and helping to ensure our towns remain vibrant places to live and work.”
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Managing director of Solar Save Renewables, Petar Pavlov, said: “The project has provided an excellent opportunity to showcase the skills and expertise of our team and demonstrates that local companies can successfully deliver high-quality renewable energy solutions.
Shares of Hitachi Energy India jumped over 7% to Rs 35,110.40 on the BSE on Monday, after reporting a 123.5% year-on-year (YoY) jump in its profit after tax to Rs 294.2 crore for the June quarter of FY26. Following the company’s Q1 results, released on Friday in a regulatory filing on the BSE, domestic brokerage firm Nomura initiated coverage on the stock with a Buy rating and set a target price of Rs 40,030 on Monday.
Implying a 23% upside, the brokerage expects EBITDA, revenue and PAT CAGRs of 38%, 48% and 45%, respectively, over FY26-29F. The growth outlook is supported by a robust existing order book, healthy order inflows across HVDC and ex-HVDC segments, rising T&D equipment demand driven by renewable energy capex and emerging segments such as data centres, along with margin expansion from better operating leverage.
The company reported a 68.6% YoY jump in Q1 revenue from operations to Rs 1478.9 crore, driven by strong and timely execution of its order backlog across all businesses.
Confluence of multiple structural themes results in robust growth prospects
As a leader in HVDC technology, the company, in the brokerage’s view, is well positioned to benefit from opportunities arising from upgrades to maturing HVDC stations over the longer term. The brokerage believes that the company is positioned to benefit from five key tailwinds, including lifecycle service orders for grid automation, expansion of transport infrastructure, multi-fold growth in data centres, energy storage solutions, and the target of ordering one HVDC project per year to enable grid integration.
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Nomura also expects Hitachi Energy India to win two domestic HVDC projects over FY26-29F.
Company Outlook
As per the company’s statement on the BSE, the new fiscal year brings increased opportunities in emerging segments such as AI data centres, smart grids, BESS and electric vehicle infrastructure. With the new target of 900 GW of non-fossil fuel installed capacity by FY36, opportunities in the renewable energy segment are expected to grow manifold, creating the need for a robust energy manufacturing ecosystem to meet the nation’s growing energy requirements.To deliver on this ambitious target, the company said closer collaboration among all stakeholders and a level-playing-field policy would be essential to ensure equal opportunities for both domestic and global players. It added that a swift resolution to ongoing geopolitical tensions is crucial for global economic growth, as prolonged uncertainty could hinder the pace of the energy transition worldwide.
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of The Economic Times.)
Aarti Pharmalabs shares hit the 20% upper circuit at Rs 823 on the BSE on Monday following the announcement of its June-quarter results. The sharp rally came after the company reported strong double-digit growth in revenue and net profit, along with key announcements on plant expansion and board-level management changes.
Strong revenue and profit growth drive earnings
The company’s consolidated revenue from operations in Q1 surged 38.7% year-on-year to Rs 535.79 crore compared to Rs 386.19 crore in the corresponding quarter of the previous year. Total consolidated income reached Rs 536.25 crore, up from Rs 386.96 crore a year ago. On the bottom-line front, consolidated net profit after tax (PAT) jumped 65.4% year-on-year to Rs 76.14 crore against Rs 46.03 crore reported in Q1 FY26. Consequently, basic earnings per share (EPS) expanded to Rs 8.40 from Rs 5.08 in the base quarter. Profitability was further boosted by a turnaround performance from its joint venture, Ganesh Polychem Limited, which contributed Rs 7.41 crore to the net profit share compared to a loss of Rs 1.80 crore in the same period last year.
Rs 149-Crore Capex Plan for CDMO Expansion
Alongside its financial results, the Board of Directors approved a major capital investment of Rs 149 crore to construct a new Intermediate Block. The proposed facility will add 405 KL of manufacturing capacity and is designed to meet growing demand from contract development and manufacturing organisation (CDMO) partners and intermediate clients. The expansion project is targeted for completion within one year and will be funded through a mix of internal accruals and borrowings.
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Board Restructuring and Leadership Transition
The board also approved changes to senior leadership roles, which will take effect from October 1, 2026, subject to shareholder approval. Shri Rashesh C. Gogri will transition from Non-Executive Director to Managing Director. Concurrently, Smt. Hetal Gogri Gala will transition from Managing Director to Executive Director. In line with these changes, the board reconstituted its key governance bodies, including the Audit Committee, the CSR Committee, and the Stakeholders Relationship Committee.
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Standalone Performance and Stock Reaction
On a standalone basis, Aarti Pharmalabs reported revenue from operations of Rs 534.59 crore, marking a 42.4% increase from Rs 375.31 crore in the year-ago quarter. Standalone net profit grew 49.3% year-on-year to Rs 71.31 crore.
Following the earnings release, the stock opened with a sharp gap-up at Rs 763.00 before touching the maximum permissible limit of Rs 823.00 on the stock exchanges. Today’s rally brings the stock closer to its 52-week high of Rs 946.10.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
Shares of One97 Communications, the parent company of payments aggregator Paytm, rallied 4.5% to their day’s high of Rs 1,506 on the BSE on Monday after Bernstein raised its target price on the stock to Rs 2,200 (52%upside) from Rs 1,500, while retaining its Outperform rating.
The revised target is the highest on the Street and marks the first time Paytm has received a target price above its IPO price.
Paytm made its stock market debut in July 2021 at an issue price of Rs 2,150, a level the stock has not returned to since its listing. Bernstein said it has incorporated the introduction of the merchant discount rate (MDR) on UPI transactions into its base case from FY28 onwards.
The target price hike comes as Bernstein incorporates the introduction of MDR on UPI transactions into its base case from FY28E onwards. The brokerage expects MDR to improve Paytm’s net payments margin by around 3-4 basis points, resulting in an estimated 30% increase in FY30E EPS compared with its previous forecasts.
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Bernstein said recent comments from the Ministry of Finance, along with legislative changes removing the statutory prohibition on charging MDR on UPI transactions, suggest the discussion has shifted from whether MDR will return to when and in what form. It has therefore moved UPI monetisation from its optionality assumptions into its base-case forecasts, with the benefits phased in from FY28E onwards.
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The brokerage assumes a headline MDR of around 35 basis points, applicable only to a subset of UPI P2M transactions. Given the skew in UPI transaction values, Bernstein estimates that even a limited charging perimeter could cover a meaningful portion of payment value. It expects MDR to apply to around 50% of transaction value, with Paytm realising around 3-4 basis points of incremental net payments margin. This is estimated to translate into around Rs 22 billion of additional EBITDA by FY30E. Also read:Paytm attracts more Gen Z users as its UPI payments growth outpaces industry“Competitive intensity in merchant acquiring could increase further, as a result, realised economics could prove to be lower than published rates,” Bernstein said in its note.
The government’s position on UPI charges also remains in focus. Over the weekend, it said consumers will not be charged for UPI transactions. If MDR is introduced, it will apply only to select merchant transactions above a certain threshold. The government also said a revenue model is needed to make UPI self-sustaining, given the continued investment required in cybersecurity, fraud provision and infrastructure.
Paytm Q1 results
The company reported strong quarterly earnings. For the quarter ended June 2026, the fintech company posted a consolidated net profit of Rs 220 crore, up 79% from Rs 123 crore in the corresponding quarter last year.
The company’s board also decided against proceeding with a bonus issue, saying it would instead continue focusing on compounding growth and profitability to create long term shareholder value.
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“After evaluating the proposal from the perspective of long term shareholder value and due deliberation, the Board was of the view that the company should continue to focus on further compounding growth and profitability for shareholder value creation. Accordingly, the Board decided not to proceed with the said proposal at this time,” the company said.
Instead, the board approved an additional investment of Rs 100 crore through subscription to equity shares of its wholly owned subsidiary, Paytm Money.
Revenue from operations rose 28% year on year to Rs 2,448 crore from Rs 1,918 crore. On a sequential basis, revenue increased 8% from Rs 2,264 crore in the March quarter. Total income for the quarter stood at Rs 2,630 crore, up 22% from Rs 2,159 crore a year ago and higher than Rs 2,442 crore reported in the previous quarter.
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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In the first half of the year, our main funds have once again delivered double-digit gains, ahead of global indices. While this might suggest that there is now ‘less room left to rise’, we at Azvalor sell companies that consistently rise, and reinvest in others that we consider deeply undervalued by the market. This ‘rotation’ allows us to keep a high upside across all our portfolios, as detailed fund-by-fund below.
In this letter, we wish to convey two key ideas for our investments.
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First, we believe this remains a new ‘golden age’ for our investment style. The chart below needs no further explanation.
These opportunities are arising because of how speculation is encouraged in the markets. Wall Street is a selling machine, but it receives no revenue when our investors buy one of our funds, forget about it, and find ten years later that they have almost quadrupled their money. They profit, for example, by bouncing investors from defence stocks, to AI stocks, to buying some bitcoin, to hedging against a fall by selling futures, with the odd meme stock thrown in that is ‘already up 900%’. The problem is that, while this strategy is undoubtedly profitable for Wall Street, we are far less certain it is profitable for you. The sums now invested in 3- and 4-times-leveraged indices are frankly alarming, and our recommendation is to stay clear of this type of investment. Many investors, unfortunately, pay no heed – which is precisely why we who invest by weighing probabilities, rather than speculating ‘to the song of Wall Street’s sirens’, are living in a ‘golden age’.
The second idea is that the market is NOT cheap. For the first time in twenty years, the S&P 500 dividend yield is lower than that on short-term government bills. Despite the S&P 500 doubling since October 2020, earnings have risen only 30%, underscoring how Investors should be wary of investing in the indices.
In terms of business activity, we currently manage assets of approximately EUR 4.8 billion and, in the first half, recorded net inflows of EUR 460 million. More than 8,900 new co-investors joined Azvalor during the period, bringing the total to 39,000.
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These figures are a source of great satisfaction but, rather than a goal in themselves, they are the result of having done our job well for more than a decade. Our aim is to continue striving to beat the market with less risk than equities in general.
Underpinning these outcomes is a research and investment team that continues growing and maturing, both in the number of professionals and in the depth of its sector and geographical knowledge. This increased capacity now allows us to analyse larger numbers of companies with greater rigour across a more diverse range of sectors and geographies – which we regard as the best news for future returns, even more so than the specific results of any given period.
Let us examine the portfolios in detail.
Azvalor Iberia
Following its strong performance in 2025 (+31%), the net asset value of Azvalor Iberia FI has continued rising in the first half of 2026, with a gain of +6% to EUR 207.5. Since launch, it has accumulated a return of +107.5%, more than doubling the initial capital.
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Among the main holdings contributing positively in 2026 were Meliá and Repsol. During the year, we added four relatively new ideas to the portfolio, in keeping with our Azvalor Method of gradually selling or trimming investments as they bear fruit, replacing them with new investments offering an attractive upside. As a result, the value of the fund increased this half-year at an even greater pace, raising its upside potential, which we estimate at +60% . 1
Azvalor Internacional
Following its strong performance in 2025 (+19.5%), the net asset value of Azvalor Internacional FI has continued rising during the first half of 2026, with a gain of +15%. Since inception, the fund has multiplied money invested by 3.5 times.
In the first half of 2026, we added more than ten investment ideas with a meaningful weighting. These are well-managed companies, profitable businesses and, most importantly, are trading at very attractive prices. There is no common sector theme; they are separate cases across different sectors with substantial upside ahead. As a result, the value of the fund has surpassed the EUR 600 per unit mark for the first time, and, therefore, the current upside of +82% remains attractive despite the strong cumulative gains.
The best news is that, over the past couple of years, we have worked hard to build a deep ‘bench’ of ideas and now have the strongest squad of ‘substitutes’ in our history. We are better prepared than ever to continue renewing the fund’s upside as it reaches ever greater highs.
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Azvalor Blue Chips
The net asset value of Azvalor Blue Chips FI rose by +17.8% to EUR 255.2 in the first half of 2026, and, as of today, has multiplied initial investments 2.7 times.
Azvalor Blue Chips FI invests in large companies but, as the fund holds EUR 120 million, it still enjoys the virtues of a reasonably small portfolio: greater concentration than Azvalor Internacional and greater ‘agility’ to buy and sell during periods of high volatility. The upside is currently close to +84% .
Azvalor Managers
Azvalor Managers FI delivered a return of +9.3% in the first half of 2026 and, since its launch just over seven years ago, has accumulated an appreciation of +127.2%.
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The fund has assets under management of more than EUR 250 million and over 2,700 co-investors, and holds a 5-star Morningstar rating and a Citywire ‘Rating +’ .
In valuation terms, the fund trades at around a 45% discount to the global equity market, with a portfolio comprised of companies from every continent, selected by those we consider the best managers in the world. Close to 70% is invested in small- and mid-cap companies with 35% in geographically emerging markets (including China).
Azvalor International SICAV Luxembourg
Azvalor International SICAV Lux, available to international investors, follows a strategy similar to that of Azvalor’s other investment vehicles. More specifically, the portfolio invests in companies held in our Azvalor Internacional fund – our international equities fund domiciled in Spain – and selects the best ideas from Azvalor Iberia, our Iberian equities fund domiciled in Spain.
The fund trades at an average FCF yield of 12% and a weighted average ROCE of 20% . The upside of this investment vehicle at the end of the first half of the year is +82% .
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The main positions added during the period were Yellow Cake and Borr Drilling . On the other hand, we sold Tenaris , among others. In terms of performance contribution, Noble was the top performer during the first half of the year.
News at Azvalor
Last May we received news that gives us great satisfaction: for the fourth consecutive year, Azvalor has been named best independent domestic asset manager at the 2025 Expansión-Allfunds Fund Awards ( see news ) . We celebrated it with the same enthusiasm as the first time, yet without losing sight of the humility and expectations with which we approach each new year.
Four consecutive years receiving this recognition speak less of a one-off good result than of consistency in a way of working. We read it as an award for our track record, and the team and management model we have built since the firm’s inception, rather than for the returns in any particular period. It is precisely that reading which spurs us to carry on with the same high level of expectations that have defined us for more than twenty-five years.
Behind this award lies what has always been there, the same pairing we regard as our true competitive advantage: a distinctive investment method (the ‘ Azvalor Method ‘) underpinned by a strong corporate culture resting on continuous training of our teams, hard work, meritocracy, and the pursuit of excellence in everything we do. It is the path that has brought us here, and it is also the only one we know how to follow.
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We wish to remind you that, since last June, Azvalor Annual Report for the 2025 financial year has been available for your perusal ( see the Report in Spanish, soon available in English). It was prepared with a twofold aim: first, to present our annual account of stewardship and, second, to present, from a broader corporate perspective, the full range of actions carried out by the firm over the past year.
In the area of social action and patronage, we have renewed our sponsorship agreements with the Fundación Amigos del Museo del Prado and the Teatro Real. Likewise, we have renewed our partnership agreement with España Rumbo al Sur, a pioneering programme for the development of young people, which embarked a few days ago on its annual expedition, this time travelling across Peru.
Final considerations
Throughout this letter, we have stressed the principles we have followed for years, and will continue to follow precisely because they remain true. These principles include the importance of looking where others do not, exercising patience so that the market recognises the value of companies in the portfolio, and the wisdom to not be swept up by transitory prevailing narratives.
The current environment – marked by euphoria around certain growth stories, and by a high concentration of returns in a small number of companies – feels familiar to us. We have seen it before with different protagonists, and, on every previous occasion, the market corrected valuation excess wherever it existed, recognising the value of sound businesses trading at unjustifiably low prices.
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At Azvalor we continue to face the future with prudence, enthusiasm, and humility . Prudence , because we are aware that no investment process, however rigorous, is free from mistakes or difficult periods. Enthusiasm , because we now have a team that is larger, more experienced, and better trained than ever in the Azvalor Method, allowing us to analyse a broader universe of opportunities in greater depth. And humility , because we know that the good results achieved so far have been possible only with the trust and patience of you, our co-investors, who have stood firm in times of greatest uncertainty.
We will continue striving, as we have from day one, to be the best possible safe haven for your savings and ours.
We close by thanking you once again for your trust, inviting you to contact our Investor Relations team should you seek further information on any of the topics discussed, or on any other matter of interest.
Sincerely,
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Azvalor Asset Management SGIIC Team
1 The upside figures referred to throughout this document are derived from the difference between the estimated value of each of the portfolios’ underlying assets, based on our internal valuation models, and the prices at which each of them currently trades on the stock markets.
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