BXB share price: why investors like industrials shares

Company Overview - Brambles Ltd operates the world's largest pool of reusable pallets, crates, and containers, supporting global supply chains [1] - The company is known for its CHEP brand, which operates across multiple regions including Asia-Pacific, Americas, and EMEA [2] - Brambles generates revenue through a hiring model, earning daily hire fees as manufacturers use CHEP pallets to transport products [2] Financial Performance - BXB's share price has increased by 26.4% since the start of 2025 [1] - The company has experienced a compound annual growth rate (CAGR) of 7.6% in revenue over the last 3 years [5] - BXB currently offers a dividend yield of 2.08%, with an average of 2.7% over the past 5 years [6] Industry Context - The S&P/ASX 200 Industrials Index has returned 7.5% over the last 5 years, slightly below the ASX 200 return of 8.1% [3] - Companies in the industrials sector, including Brambles, often have reliable revenue streams due to the essential services they provide [5] - Investment in industrials is closely tied to economic growth, with revenue growth linked to government infrastructure investment and population growth [7] Valuation Insights - BXB shares are currently trading below their historical average dividend yield of 2.66% [8] - The current dividend yield of 2.08% indicates potential for growth, as last year's dividend was greater than the 3-year average [9]