Sat, 04 Feb, 2012

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Fri, 03 Feb, 2012
Obviously, investing in tobacco shares is not to everyone's taste - but through good times and bad they continue to make money for shareholders. A study this week released by BNY Mellon Wealth Management and Janney Montgomery Scott showed that the MSCI World Tobacco Index had the highest return out of 67 groupings in the MSCI World Index in the 10 years to 2011. The sector was the best place to put your money in the equity markets for the past 10 years. By historical standards the shares are looking cheap, trading on a September 2011 earnings multiple of 11.2, falling to 10.3 next year. The prospective yield is 4.6%, rising to 5.1%, which is attractive for income-seekers. Imperial has changed its dividend policy to increase the pay-out ratio to 50% of adjusted earnings, instead of 47%. The shares were last recommended as a buy at £21.03 a share on September 22 last year. They are up 10% since then, compared with a market up 15%. The sector should continue to generate significant amounts of cash to pay dividends and invest in its key brands. The shares remain a buy for income-seekers, Questor believes.
Thu, 02 Feb, 2012
The Tempus column in the Times has its mind on United Utilities, the north England-focused water company. This is a highly regulated stock which is all about yield. The current promise is for yield to grow each year at inflation plus 2%. In 2012 the full year yield is going to come in at 5.3% although this is likely to fall with inflation.
Wed, 01 Feb, 2012
In the Times, Tempus tests the currents for National Grid. The firm's 8% dividend growth promise will expire this year, to be replaced by a 4% commitment. This will not please investors thinks Tempus
Tue, 31 Jan, 2012
The Times's Tempus column weighs up recruitment firm SThree, which has had a pretty rough time as of late, falling 35% in the last 12 months.
Sun, 29 Jan, 2012
"Another share that has caught my eye is Chime Communications, a media agency with interests in public relations, advertising and sports marketing. Whereas the company´s profits have grown steadily for several years, the share price is similar to where it stood in October 2009. This puts the shares on a projected price-to-earnings (p/e) ratio of 7 for 2012, versus an industry average of 9.4. A gap of this magnitude suggests potential for a price gain of one-third to reach the industry average. I believe these shares are significantly undervalued. Advertising firm WPP apparently agrees. It has been a steady buyer and holds 17% of all outstanding shares. A bid for the rest cannot be ruled out," says David Schwartz in the Financial Times´ Weekend Edition.
Fri, 27 Jan, 2012
In the Times's Tempus column, Martin Waller rehearses the arguments for and against the banking software company Misys.
Thu, 26 Jan, 2012
Renishaw, the specialist engineering firm, gets the once over from Tempus in the Times. The Gloucestershire based firm, which makes measuring equipment for production lines, gained 20% yesterday after reporting record half yearly revenues, up 11% over the last six months of 2011 versus 2010.
Wed, 25 Jan, 2012
The Times's Tempus column goes to war for the defence equipment manufacturer Chemring. It was battered yesterday, falling 12.6% after suggesting the coming year could be quite tough. Tempus argues the market may have overreacted as Chemring is looking outside NATO for customers. The firm is also boosting dividend, with a forward yield at around 4.6%, and trades at just seven times earnings. With a takeover not impossible Tempus says Chemring is a speculative buy.
Tue, 24 Jan, 2012
The Independent's Sharewatch column offers a summary of the investment managers, making the point many of them have pay structures similar to investment banks but, often, without offering "benchmark beating" performance.
Sun, 22 Jan, 2012
"One company that catches my eye is Vislink, a provider of secure communications in areas such as broadcasting and law enforcement. (...) Until now I viewed this company as a short-term trading opportunity. But my opinion has changed. I suspect that Vislink is on the verge of a multi-year growth cycle and its shares have the potential to double within the next 12 months," wrote David Schwartz in the Financial Times this weekend. Mr. Schwartz cited several reasons for his bullishness. First of all, the company´s price graph suggests that considerable scope exists for its price to advance if the firm resolves the problem which caused its shares to decline. Precisely in this regard, the outfit has reinvented itself, modified the members of its board and carried out a cost-cutting program, laying the groundwork for a possible rebound in profits. As well, the company now has the opportunity to capitalize on several new revenue opportunities. Revenues are expected to be about £45m in the financial year just ended and management believes they will reach £80m a year within three years. "(...) I calculate that Vislink has a reasonable chance of achieving it target," Mr.Schwartz adds.
Fri, 20 Jan, 2012
The Tempus column in the Times leads with Associated British Foods (ABF), the owner of the Primark chain of discount shops and also a major sugar producer.
Thu, 19 Jan, 2012
Oil explorer Tullow had a rather grim day on the markets yesterday, dropping 6% after announcing technical (and expensive) problems at its most important asset in Ghana. The news will see production numbers come in below expectations this year.
Wed, 18 Jan, 2012
Financial data company Experian has made big money in Brazil since its purchase of Serasa, which has tripled in size since the acquisition in 2007. Total sales in Latin America jumped 27% in the third quarter.
Tue, 17 Jan, 2012
The Times's Tempus column casts its eye over the home builder Bovis.
Sun, 15 Jan, 2012
In a column in this weekend´s edition of the Financial Times David Scwartz calls attention to his "first 2012 purchase": TT Electronics. The company designs and manufactures electronic components and sensors for a variety of industrial sectors, including the auto sector, where it provides emission controls, electric vehicle components and electronic sensors. Worth noting, many of its contracts are in the premium auto segment, where sales are booming. No less relevant, the company´s new management has carried out a significant restructuring, closing some divisions and reducing the employee headcount. Revenues rose in the first half of 2011, pre-tax profits rocketed by 56% and net debt has been eliminated. Despite the aforementioned the company´s shares are trading on a forward price-to-earnings ratio a little below 9, while the sector average is closer to 12. Furthermore, Mr.Schwartz has the suspicion that revenue and margin improvement could cause the share price to do even better. Lastly, despite the fact that the City is ignoring the company last week the firm´s shares broke a 'down-trend' line, which may indicate that investors are waking up to the change in its fortunes.
Fri, 13 Jan, 2012
The Telegraph's Questor column casts its eye over house builder Barratt Developments which yesterday told investors total orders are up 8.1% over the same point of 2011.
Thu, 12 Jan, 2012
House builder Galliford Try has gained a whopping 52% in the last 12 months, catching the eye of Tempus in The Times.
Wed, 11 Jan, 2012
Engineering consultancy WS Atkins is flush from winning a £70m contract to help Qatar develop its transport and infrastructure, The Times's Tempus column notes.
Tue, 10 Jan, 2012
The Times's Tempus column looks at house builder Persimmon. In its latest trading update the company said it expects a 50% increase in full year pre tax profits.
Sun, 08 Jan, 2012
When publicity seekers like Lady Gaga say they want to be in a Bollywood film, you know that the Indian movie industry is now of global importance. There is plenty of opportunity for Bollywood film producer and distributor Eros International. The shares were first tipped in The Sunday Telegraph at the start of October - and the shares soared to 270p a couple of weeks later as the company hosted an analyst visit to India. They have eased back since then but are still 10% ahead of the tip price. The shares are trading on a March 2012 multiple of 6.7 times, falling to 6.1 in 2013. The company does not currently pay a dividend. Questor feels that now is a good time to buy shares in Eros.
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