Home
Investment
News & Views
Company News
news storage
Thursday tips round-up: AstraZeneca, Morgan Sindall, Afren
Fri, 12 Mar, 2010
INVESTMENT NEWS
Company Search
Search QCK.COM
Investment Home
News & Views
Top Stories
Charting
Company Search
Watchlist
Market Reports
Market Buzz
Company News
Economic News
New Issues
Other News
Thursday tips round-up: AstraZeneca, Morgan Sindall, Afren
Thu, 2 Jul 2009, 05:17:00
More Chart Options
Related Market Prices
Name
Value
Percent
Change
AstraZeneca
2995.50p
+0.30%
Afren
93.25p
+2.47%
Avanti Communications
465.75p
-0.90%
Morgan Sindall
560.00p
+0.00%
WSP Group
283.00p
+0.44%
Related Articles
Chairman's wife buys Redrow shares
Tue, 2 Mar 2010
Profit halves at WSP
Mon, 1 Mar 2010
Morgan Sindall in Gloucester contract award
Thu, 25 Feb 2010
London close: Footsie suffers lack of confidence
Tue, 23 Feb 2010
London afternoon: Stocks drift lower
Tue, 23 Feb 2010
Yesterday's failed blockbuster drug can be tomorrow's niche therapy. That would appear to be the prognosis from
AstraZeneca
, which yesterday won European marketing approval for Iressa, its once-a-day lung cancer pill. Longer-term challenges remain: notably the tide of patent expiries, such as the 2012 loss of protection on Seroquel, AZ's schizophrenia treatment, that continue to weigh on the shares. But, at £27.07½, or eight times earnings, a 5 per cent dividend yield is reason enough to hold on, according to the Times. Offering a dividend yield of 6 per cent, and with
Morgan Sindall
holding a decent amount of cash, the Independent cannot really see the justification in jettisoning the shares. The group has continued to win contracts in recent months and remains a strong pick within the industry, even if the sector as a whole may suffer in the coming months from cuts in public spending. Hold. The Telegraph says Morgan Sindall's share price has outperformed the FTSE All-Share index since February, according to calculations by Panmure Gordon, and advises taking profits. At the end of last year
Afren
had net debt of $287m (£175m), with $117m of cash on the balance sheet. In April the group raised $126.3m before expenses in a placing, so the company should now be in a net cash position. The shares are trading on a December 2009 earnings multiple of nine times, but this falls to 3.4 next year as more production kicks in. The company pays no dividend. While not without risk, at the current level, the shares are a speculative buy, says the Telegraph.
WSP
is performing well operationally and has positioned itself well in anticipation for tougher times ahead. The group is probably the Independent's pick in the sector, especially given the yield, and for that reason it would hold on to the stock.
Avanti Communications
has lived up to its name. Shares in the AIM-listed satellite broadband specialist have advanced more than 50 per cent since the start of the year and pushed forward again yesterday as it raised £32 million, or nearly half of its stock market value, through a share placing at 225p. No profits are due until 2012. But at 259¼p, higher risk investors should take a ride, says the Times. Please note: Digital Look provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look cannot take any responsibility for information provided by third parties. This is for your general information only as not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.
Related Newspaper Articles:
Tempus:AstraZeneca
-
Times
Questor :Afren
-
Telegraph
Investment Column:Morgan Sindall
-
The Independent
Investment Column:WSP Group
-
The Independent
Investment Column:CustomVis
-
The Independent
©2004-2009 QCK.com
Tax Guides
|
Top 10 Tips
|
Financial News
|
Sitemap
|
Terms
|
About us
|
Contact