Wolseley, the UK building supplies group, feels unloved. It is in the top half of the UK's FTSE 100 index, has increased revenue and profits for 20 out of the past 21 years – doubling its size every six to seven years – and has delivered a return on capital comfortably in excess of its cost of capital. It has consistently created value for its shareholders, which is more than can be said for many companies.

Yet, in spite of this record and the fact that its shares rose 48% last year, making it one of the FTSE 100's top performers, Wolseley trades on a historic price/earnings ratio of only 13. This is because the group is not properly understood and appreciated by the market, says its management. Essentially, it is a supermarket for builders.