21 April 2003 12:58
Share Tips: BP looks healthier after Russian deal
Sunday Times: Oil and gas group BP had a tough time last year, but chief executive Lord Browne has embarked on a
programme of restructuring and a pounds 4.5 billion investment in Russia. BP's first-quarter trading statement in
nine days' time will bring cheer because the oil price has been high so far this year. Buy.
The accepted wisdom that the unwinding of Abbey National's pounds 60 billion wholesale assets will produce no
value for shareholders is being challenged. The bank's share price has jumped by more than a pound in the past
couple of weeks to close at 433p. But investors hoping it will shoot back to last year's pounds 11.32 should not
hold their breath. Sit tight and wait for the deal to materialise.
Sunday Telegraph: The share price of venture capital group 3i has nearly halved in the past 12 months alone to
458.5p. But there could be worse to come with around 35% of its portfolio invested in technology companies.
The group had a pounds 105 million pension deficit six months ago, which is expected to have worsened, and the
group's annual results on May 15 will be a depressing affair. Sell.
Sunday Express: Debenhams hasrevealed a robust set of figures with half-year profits up 5% to pounds 96.5 million.
Although shares rose on the back of better than expected trading, details of five new outlets and an extension of its
share buy-back programme, there's more to come. The stock remains good value at 317p.
AIM-listed pre-school nursery operator Creative Educational looks set to capitalise on the pounds 2 billion-plus
private-sector nursery market. At 5.25p the stock is well placed to move upwards.
Data storage company InTechnology has just bought network security business Allasso. Dresdner Kleinwort Wasserstein
has hiked revenue expectations from pounds 175.2 million to pounds 249.7 million and sees a doubling in profitability to
pounds 7.2 million as a result of the deal. A strong buy at 52p.
Mail on Sunday: Shares in electricalstore giant Dixons have been battered in recent months by a succession of
negative developments. At 94.5p they trade at a forecast earnings multiple of 8.3 and offer a prospective yield, with a
well covered dividend, of 7%. There is unlikely to be a sharp re-rating in the short-term, but if the market has already
factored in the worst, then the shares are worth buying.
[UKIR [UK & Ireland Intelligence Wire]] |
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