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Staffline - OnSite recruiter looks dirt cheap

May 2011

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:
  • STAF
  • Price:
  • 216p
Staffline Recruitment has the look of a company that seems well placed to string together several years of consecutive growth. The group is an expanding industrial recruitment business engaged mainly in the supply of temporary blue collar workers and it therefore competes directly with the Blue Arrow business of Impellam  (IPEL; 338p), a company Sharewatch featured in March. At the time that we ‘Buy’ rated Impellam, we had highlighted that the presence of controversial Tory donor Lord Ashcroft on the share register (with a 57% stake) was one of the reasons why the shares were sitting on a miserly prospective PE of just 4.5. Impellam has risen by almost £1 since our tip as investors have gradually appreciated ...

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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.

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