image

The best stocks to buy since 1993

Latest issue now available

Renew Holdings - Ultimate bit of refocusing with disposal of Allenbuild

December 2014

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • RNWH
  • Price:
  • 269p
When we met finance director, John Samuel, in March (226p; verdict: Buy) we asked when Renew was likely to do the ultimate bit of refocusing and sell its building division. Samuel called ours a “heinous suggestion” but eight months on Renew has sold the bulk of that division with the disposal of Allenbuild, the new build affordable housing unit, for £2.5m after an approach. Allenbuild has sales of £50m and achieved a 1.25% margin over the last couple of years but recently suffered from cost price inflation in London (read across from Morgan Sindall), which had left it at breakeven.  Full year results this month (with Allenbuild as a discontinued operation) were excellent with sales up 64% to £464m ...

To access our archive of articles and to receive current issues you need to subscribe.

Subscribe now

Already a subscriber? Login

Related Articles

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

LIMITED PERIOD OFFER!

SUBSCRIBE TODAY AND SAVE £30 WITH OFFER CODE 30OFFSCSW

To access our archive of articles and to receive current issues you need to subscribe