image

The best stocks to buy since 1993

Latest issue now available

Redhall

October 2010

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:
  • RHL
  • Price:
  • 143p
Redhall has made a recommended offer for AIM-listed  Mount Engineering (MOU; 70p) to value Mount at £16.4m, the same price at which the business was only cobbled together in the past three years. Mount, which listed in ‘07, supplies explosion proof fittings and valves and actuators to the  oil & gas and petrochemical industries, using it to enhance the safety of hydrocarbon production. Mount has seen weaker-than-expected trading in Asia and Europe recently but is expected to make £2m-£2.5m this year, which equates to 6-7x operating profit - so the deal should be eps enhancing next year although Brewin has yet to increase its 17.6p estimate for FY11. The shares look attractive.; strong ...

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

Subscribe now

Already a subscriber? Login

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