After six years of rapid house price growth, the market is beginning to show signs of fatigue and experts have warned the market to be braced for a sharp slowdown in April.
After five years of impressive industry defying growth, shareholders of the £850 million pub operator are faced with a premium rating of 15x earnings, as earnings go into reverse.
There will come a time when mining shares are worth tucking away, but instead of this week’s debt-refinancing being a vote of confidence, I fear it highlights just how bad things are for Glencore.
I believe the benefit of prolonged ultra-low interest rates and the possibility of predatory interest towards the defensive monopoly-like water provider make the weakness in Severn Trent an exciting longer-term entry level.
Recent interim results, published on 9th December 2015, revealed a 20% jump in profits and a boost in the dividend, as the company built on a strong start to the year.
Sales pressure has been removed, short-sellers will scramble to cover their positions and keen buyers may be more tempted to step in and acquire the shares today rather than waiting to buy at a 5% discount to the governments break-even price of 77p.
Given the current backdrop of heightened security threats and questions on economic growth, defence stocks appear attractive and BAE Systems (Epic: BA.), the world’s second largest defence company, remains my preferred choice.
Greggs is well placed to benefit from the growing trend of ‘food to go’, with the fastest growth in sales coming from the breakfast on-the-go menu and its balanced choice range of healthier food now accounts for 10% of total sales.
The telecoms giant is building a strong position in an evolving industry, benefitting from changes to the way we watch programmes and consume information.
The pace of regulatory change is easing, the worst of the misconduct fines seems to be out of the way and rising interest rates are likely to be coming sooner rather than later.
Whitbread has delivered more than 10% growth in earnings and dividends for the last five years and the company is on track to deliver full year results in line with market expectations.
Total assets under management fell by £40.7 billion to £283.7 billion, the worst quarter for outflows from this asset class since the global financial crisis and even chairman Martin Gilbert fears the situation may get worse before it improves.