| Buy | |||
|---|---|---|---|
| Company | Publication | Reason | Price tipped |
|
4imprint (FOUR) Media |
Shares | The promotional products specialist should benefit from any economic recovery in the US. Recent trading is better than expected and the firm is throwing off plenty of cash. Buy. | 357p 360p/208p* |
|
Anadarko (NYSE:APC) Oil & gas |
Shares | Anadarko’s rising oil output is boosting cash flow and cutting debt. A $25bn legal wrangle remains, but a resolution could boost the shares, and the firm is a possible takeover target. | $70.75 $88.70/$56.42 |
|
Aveva (AVV) Technology |
The Times | The computer-aided-design firm’s new Everything3D product should be profitable from the start. Business is booming in Asia, the dividend is up and it is cash-rich. Worth a look. | 2,015p 2,079p/1,408p |
|
Bovis Homes (BVS) Housebuilder |
The Daily Telegraph | Bovis Homes is benefiting from cheap land purchases. Lending to first-time buyers remains an issue, but the shares still rate as a buy on a price/earnings ratio of 13.3 for 2013. | 506.5p 530p/392.75p |
|
Capita (CPI) Outsourcing |
The Daily Telegraph | The government outsourcing firm expects organic growth of 3% this year, with activity picking up in the second half. The new contract pipeline looks strong at £4bn. Buy on a p/e of 13.4. | 717p 788p/600p |
|
Dignity (DTY) Support services |
The Times | Brokers for funeral-home operator Dignity have updated forecasts following a strong third quarter. The indications for December are good – any rise in the death rate boosts revenues. | 964p 972.5p/750.5p |
|
Bovis Homes (GPOR) Real estate |
The Times | Pre-letting activity in the firm’s West End properties is at a high and there is a shortage of good property. The firm’s portfolio’s value has risen and three new buys are on the cards. | 458p 481.5p/305.4p |
|
Halfords (HFD) General retailer |
Investors Chronicle | Halfords is making a decent comeback from its woes earlier this year, with second-quarter sales growth of 5.6%. Its car servicing business is flourishing and the 6% yield is tasty. | 353p 360p/187p |
|
Invensys (ISYS) Engineering |
The Times | Invensys is once again looking like a possible takeover target just five months after the previous suitor, US firm Emerson Electric, walked away. Buy for the generous dividend yield. | 218.5p 280p/167p |
|
Leyshon Resources (LRL) Aim |
Investors Chronicle | With acreage in one of China’s largest unconventional gas basins, gas explorer Leyshon is well positioned to exploit demand for gas. Drilling results are due soon. A speculative buy. | 15p 17p/10.75p |
|
MDM Engineering (MDM) Aim |
Shares | Half-year results due in December should boost shares in the mining-focused engineering firm. Its ability to win new contracts should see it beat full-year earnings expectations. | 147.5p 157.5p/93p |
|
NCC (NCC) Technology |
Shares | Cyber-security specialist NCC has a solid software business and should benefit from rising cyber-crime, with global hacking attacks hitting one trillion by 2013. A good long-term bet. | 879p 1,025p/650p |
|
Novo Nordisk (Copenhagen:NOVOB) Pharma |
Investors Chronicle | The Danish pharmaceuticals giant dominates fast-growing markets, with an 80% chunk of the insulin market and a strong product pipeline. Its share buy-back programme is also generous. | DKK930 DKK981/583 |
|
Oxford Instruments (OXIG) Engineering |
The Times | Oxford Instruments is benefiting from the rising use of its nanotechnology tools in industrial processes. Margins are up and the firm aims to double revenues between 2011 and 2014. | 1,279p 1,401p/900.5p |
|
Raven Russia (RUS) Real estate |
Shares | Buy shares in the Moscow-based commercial property firm before a 50% increase in capacity is priced into its valuation. Raven has secured new debt of $177.5m to fund its new projects. | 67.5p 69.5p/48.75p |
|
Ted Baker (TED) General retailer |
The Times | The Ted Baker fashion brand is making good inroads into overseas markets, with a new store now open in Beijing. Trading is strong. The shares are good long-term value on a p/e of 18. | 954p 1,017p/633p |
|
United Drug (UDG) Pharmaceuticals |
The Times | The Irish drug wholesaler switched its listing to London and 70% of profits come from outside Ireland thanks to acquisitions. FTSE inclusion and a higher profile should boost the shares. | 233p 245p/155p |
|
Vodafone (VOD) Mobile telecoms |
The Daily Telegraph | Shares in the mobile giant have hit a 13-month low over its exposure to southern Europe, but fears are overblown and represent a buying opportunity. The dividend yield remains healthy. | 157.75p 191.75p/157p |
|
WS Atkins (ATK) Support services |
Investors Chronicle | The engineering firm’s dividend has grown at 11% a year for the past ten years and the yield is almost 5%, making it attractive to income-seekers. It could also be a takeover target. | 649p 806p/525p |
|
Xcite Energy (XEL) Aim |
Shares | Positive news flow is likely to boost shares in the North Sea oil explorer. In the next six months new data is due on the Bentley oil field and fresh funding should also be released. | 89.5p 188.75p/64.75p |
| Sell | |||
| Company | Publication | Reason | Price tipped |
|
BT (BT/A) Telecoms |
The Independent | Revenues at BT are continuing to shrink as it reshapes its mediocre business. The company also faces pricing issues and problems funding its pension fund. Hang up. | 225p 239.75p/174.5p |
|
CRH (CRH) Construction |
Investors Chronicle | Like-for-like sales at the building firm fell in the third quarter and its aggregates business will be hit by Hurricane Sandy. The shares aren’t cheap on a 2012 p/e of 19. Time to sell up. | 1,147p 1,414p/1,027p |
|
Icap (IAP) Financial services |
Investors Chronicle | Half-year profits at the world’s biggest inter-dealer broker halved due to the economic slowdown and eurozone crisis. Regulatory challenges loom and the outlook remains gloomy. | 291p 432p/284p |
|
Int’l Consolidated Airlines (IAG) Travel & leisure |
Investors Chronicle | International Consolidated Airlines is undertaking a radical overhaul of struggling Iberia, which is losing €1.7m a day. But any turnaround will be expensive and time-consuming. Sell. | 170p 190.5p/130.5p |
|
Lonmin (LMI) Resources |
Shares | Despite the recent $817m rights issue to cut debt, Lonmin’s costs are rising and will soon outstrip its platinum selling prices. There’s little near-term upside for platinum prices – sell. | 482p 1,142p/426.75p |
| * 52-week high/low | |||