LONDON (ShareCast) - Hedge fund manager Man is well capitalised, so much so that while players elsewhere in the financial services sector are launching into rights issues to shore up their balance sheets, it is bullishly restarting a share buyback programme.
From a low this year of almost 470p in mid-January, Man Group shares have pushed higher and, given yesterday's figures, that trend looks likely to continue. On 13 times earnings, the valuation is not too challenging. Buy says the Telegraph.
Waste group Shanks, which posted an 11 per cent annual trading profit yesterday, says the outlook is very good, with a shortage of landfill sites in Belgium proving to be the only blot on an otherwise spotless copy book. But while Shanks is a good, safe company there just does not seem to be much juice left for new investors. Hold says the Independent.
Youngs is a strong pub group, but investors should remain cautious, at least until July when it will be able to get the first like-for-like comparisons during the smoking ban. Cautious hold says the Independent.
If you want a truly diversified portfolio and have to be in the pub sector, Youngs is probably the stock for you. But if not, it's probably best to hold off for now. Avoid says the Telegraph.
GB is an electronic identification verification company that works by checking what people tell the likes of O2 when setting up a mobile phone contract, or Lloyds TSB when opening a bank account. GB Group has the potential to do very well in the next few years, especially as identity theft and greater online security become ever more pressing issues. Now might be a good time for investors to back them. Buy says the Independent.
Yesterday's results show Scottish and Southern Energy's investment case remains intact. Jitters over a potential political backlash – from a perception that utilities are profiting from high energy prices – are likely to persist. However, with SSE continuing to invest heavily in renewable energy to meet government objectives that threat should be kept at bay. At £14.66, or 13 times current-year earnings, SSE is a solid hold says the Times.
Caledonia, the investment trust, raised its payout for the 41st successive year yesterday. The discount to net assets – which historically has oscillated between about 4% and 9% – is only 5%. But there is no reason to believe that Caledonia has lost any of the flair that has served shareholders so well to date. Buy on any widening of that discount says the Times.
The critical second-quarter trading period still lies ahead for retailer Blacks Leisure and despite a longer-term aim of reducing its vulnerability to the weather, another wet summer would hurt. At 22 times current-year earnings, they have already priced in recovery. Further evidence of turnaround is needed before buying back in 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.
1.75p ()
