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Wednesday tips round-up: Prudential, Drax, Britvic

Wed, 19th May 2010 06:45

If you can't afford the rights - or are unwilling to stump up the cash - the Telegraph thinks it is best to sell all of your Prudential holding alongside your rights, rather than be diluted out of the dividend and earnings to this extent. Sell up and walk away. Hopefully investors who do this will not have to crystalise significant losses, unless the shares were bought near the peak in 2000. If you can afford to take up your rights then you should do so. Mr Thiam's Asian adventure has a lot of risk associated with it - but if he manages to pull it off, growth should be impressive the paper suggests.Drax argues its argues that the share price is held to ransom by the "dark green spread", which is related to power prices. There may be investors that think it's a bargain, and it is certainly true that the shares are inexpensive at their current value. The group is also doing interesting work with biomass power. This will take some time to come online, however, and for now avoid says the Independent.Shareholders in Britvic will be hoping that its latest purchase will prove better than its last. But the share price reaction to the €237m takeover of France's Fruité suggests that investors are willing to give Britvic the benefit of the doubt. At 458¾p, or 13 times earnings, Britvic's shares trade at a discount to its sector and provide a 4.1% dividend yield ? not dear given forecast earnings growth of more than 20% this year. Hold says the Times.SSL, which also owns the Scholl footcare brand, reported headline sales up 25% to £803m. However, when currency movements and acquisitions were stripped out, underlying sales advanced by less than 2%. SSL is virtually debt-free but at 818½p, down 6½p, the shares trade at 21 times current-year earnings and offer a negligible 1.3% dividend yield. Pass says the Times.The Independent says question is whether SSL's premium is justified and says given the uncertain economic picture, and increasingly volatile market backdrop, it is. SSL's products are unlikely to go out of fashion anytime soon. Buy.Schools software group RM is operating in an excellent global market and the shares look undervalued, but uncertainty over education budgets will limit gains. Still, supported by the 3.6% yield, buy says the Telegraph.Range Resource's assets in Somalia could be highly lucrative and shareholders would have a day to remember if the project holds as much oil as the company hopes. The market is yet to price in the project. Buy says the Independent.Bookmaker Paddy Power continues to benefit from its heavy investment in "specials" but it is its aggressive online strategy in international markets that will drive its growth and dilute any negative impact from the threat of an online betting tax in its home market. At €26, or 13 times earnings, buy says the Times.Please note: Digital Look provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look cannot take any responsibility for information provided by third parties. This is for your general information only as not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.
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12 Mar 2013 15:39

Glu Mobile launches real-money gambling, shares soar

March 12 (Reuters) - Mobile games maker Glu Mobile Inc launched its first real-money mobile gambling game through UK mobile betting game designer and operator Probability Plc, sending the U.S. company's shares up as much as 27 percent. Online gambling is growing in popularity in the UK. Zy

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16 Nov 2012 14:02

Paddy Power sees revenue growth of 23 per cent

Irish bookmaker Paddy Power has said that overall, its performance between the start of July and mid-November has been in line with expectations, with strong growth in net revenue of 23 per cent and continued significant investment. The paddypower.com website maintained good momentum, with turnove

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29 Aug 2012 07:46

Paddy Power reports profit surge

Irish bookmaker Paddy Power revealed an impressive increase in half year profit and revenue following strong online growth and a robust performance in Australia following its investment last year. Pre-tax profit rose to €68.7m for the six months ended 30 June 2012 from €56.8m the same time a year b

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28 Aug 2012 16:25

Wednesday preview: Antofagasta, Serco, 888, Paddy Power

Chilean copper miner Antofagasta must have been thanking its lucky starts it operates in South America rather than South Africa, given the trials and tribulations the likes of sector peers Lonmin and Aquarius Platinum have been suffering lately. The group already updated the market at the beginning

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24 Aug 2012 10:40

Week Ahead: Jackson Hole, Hays, G4S, gaming firms

The late August bank holiday means that five days of results are squeezed into four but even so, the schedule does not seem particularly busy, and with the major economic event of the week - Federal Reserve Chairman Ben Bernanke speaking at the central bankers conference in Jackson Hole - taking pla

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16 Nov 2011 09:44

Wednesday broker round-up - UPDATE

Michael Page: HSBC upgrades to overweight from neutral. Reckitt Banckiser: Citi reiterates buy. Cairn Energy: Societe Generale initiates at buy. Royal Bank of Scotland: AlphaValue downgraded to add from buy yesterday and lowered the price target to £24.60from £29.80. ARM Holdings: UBS raises t

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4 Oct 2011 08:25

UPDATE: Tuesday broker round-up

BHP Billiton: Citi reiterates buy and keeps target at 2,405p. BHP Billiton: Credit Suisse upgrades to outperform from neutral; cuts target to 2,800p from 3,160p. Anglo American: Credit Suisse downgrades to neutral from overperform. Lonmin: Credit Suisse downgrades to underweight from neutral. S

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31 Aug 2011 06:32

Wednesday tips round-up: Computacenter, Bunzl, Booker...

Mike Norris, the chief executive of Computacenter, claims to be more pleased by the successful transition of the group's British operations to a new IT programme, which went live yesterday morning, than he is with interim figures yesterday, says the Tempus team at the Times. But the upgrade, which f

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17 May 2011 14:03

Paddy Power gallops on

Irish bookie Paddy Power has announced a 21% jump in revenues in the year to date, driven by a surge in online gaming. The firm said it had seen a 33% rise in online revenues and 7% growth in retail revenues. Total amounts staked in its UK and Irish online business were up 46%, while amounts stake

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21 Mar 2011 12:58

Broker tips: Gaming, Man Group, Northgate

Peel Hunt does not expect any significant changes to gaming taxation from this week's Budget, but notes that the chancellor may throw down a marker that could have significant implications for parts of the gaming industry in the long term. The previous government gave gaming companies the option of

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7 Mar 2011 16:39

London close: Shares give up gains as Libya worries persist

Shares closed in the red having spend most of the day in the blue after recovering from a weak start. Once again, the Libya turmoil has been casting a shadow. Oil prices are still an issue. Light crude rose to a 30-month high above $106 on Monday as fighting rages in Libya while reports that the un

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7 Mar 2011 14:18

London afternoon: Stocks consolidate gains

Shares came off the top at the beginning of the afternoon before recovering some of their poise toward the end of the lunch time session as futures markets indicated a moderately firm start in store on Wall Street. Oil prices are still an issue. Light crude rose to a 30-month high above $106 on Mon

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7 Mar 2011 09:14

Paddy Power profits soars

Irish bookie Paddy Power accompanied record results in all divisions last year with a 28% dividend hike. The firm produced record turnover of €3.8bn in 2010 and operating profit of €104m, while pre-tax profits rose from €67.2m to €104.2m. UK Retail operating profit increased almost six-fold from €

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7 Mar 2011 07:28

Paddy Power dumps London Capital

Capital Spreads owner London Capital (LCG) has suffered another blow as Irish bookmaker Paddy Power has dropped it as a partner and pulled out of financial spread betting altogether. Paddypowertrader represents 17% of active clients of LCG. Paddy Power warned LCG it was reviewing its financial spre

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23 Dec 2010 10:58

Paddy Power tidies up Sportsbet

Irish bookie Paddy Power has tidied up its holding in Australian counterpart Sportsbet by snapping up the outstanding 39.2% for A$132.2m. Paddy Power says the deal will be earnings enhancing in 2011, adding it expects Sportsbet to achieve EBITDA pre-group central cost allocations of no less than A$

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