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Professional Services building scale The Professional Services recruitment area (37% NFI) gives breadth to Matchtech’s operations and should trade according to a different cycle. Growth in contract NFI in this division has picked up more strongly (+28%), but permanent recruitment is still being reined in by candidate vacillation and existing employers preferring to retain staff rather than recruit and train in the face of continuing economic uncertainty.

Large-scale infrastructure projects set to continue The new streamlined reporting structure outlined at the year end highlights the key top-line drivers; clearly the strength of the group’s offer in Engineering and the growing market share of the Professional Services, with contract NFI significantly outperforming permanent recruitment. Engineering represented 63% of group H113 NFI. Matchtech’s market positioning, supplying highly-skilled engineering and technology contractors and permanent staff predominantly into large UK-based customers working across the globe, puts it in a very different position to a general supplier of labour subject to the vagaries of GDP. The number of large-scale projects in the UK looks set to continue as the Government moves to stimulate the economy, with the further extensions of HS2 and a potential North-to-South London Crossrail2 both being aired in the last few days.

The trading update to the end of January confirms that the group is on track to meet our forecasts, with 8% net fee income (NFI) growth in the first half. Demand for highly-qualified engineering and technology contract staff continues to be good, with 5% more contractors on assignment than the previous year. Unlike some others in the recruitment sector, Matchtech’s permanent fees are also stable, despite subdued confidence. The shares are trading around 10% below mid-sector on an EV/EBITDA basis and carry a premium (covered) yield.

The system is gaining traction within the industry, with £6.2 million worth of new contracts won since 28 September 2012. Demand is currently 'outpacing capacity to deliver' according to Chief Executive Officer Ben van Bilderbeek. In response Plexus has outlined plans to increase its rental well-head inventory. The company should be able to fund the majority of this expansion out of cashflow but also has a largely undrawn £6 million lending facility on hand.

Oil services minnow Plexus (POS) is an exciting growth play. It is enjoying a virtuous circle of contract wins delivering higher earnings which in turn supports investment in new capacity and therefore even more new work. The substantial momentum in the Aberdeen-based business was demonstrated by October's results for the year to 30 June (16 October). These revealed pre-tax profits up nearly 100% to a record £3.1 million, outpacing expectations. Plexus' POS-Grip well-head technology has a key advantage over existing technologies. Unlike the traditional well-head it does not require the removal of the blow-out preventer, an important safety device, to terminate and seal the well casing strings (the pipes within an oil well through which crude is extracted).

The £427 million cap is good at positioning itself for future growth. A long-term training agreement with the Mozambique government, for example, means Kentz is well placed to take advantage of the opportunities arising from the large liquefied natural gas facilities set to be developed off the country's coast. The dividend yield, at 2.5%, is modest but the company is committed to a progressive policy and the dividend per share increased from 5.7c in 2008 to 12.3c in 2011.

Oil services firm Kentz (KENZ) is going after a pipeline of contracts worth $13.1 billion. This should see the company maintain its record of double-digit EPS growth. The current rating fails to reflect this potential. Based on a consensus forecast 2013 EPS of 41.4p it trades on a price/earnings ratio of 8.9 against a sector average of 11.5. The Irish company has a strong track record of execution and unlike mid-cap peers such as Cape and Lamprell has not blotted its copy book by warning on profits since becoming a public company in February 2008. Its robust performance is supported by a diverse business mix and wide geographic spread. It is active in the Americas, Canada, Dominican Republic, South Africa, Mozambique, Middle East, Russia and Australia and its client base is principally made up of blue-chip companies.

Stockbroker SP Angel says Afferro has a 120p 'floor' value with upside to 225p per share. The miner has spent $36.5 million so far on Nkout's exploration. A pre-feasibility study will be done over the coming year. SP Angel's base case assumes the project gets to development and production by 2018.

This low grade means Afferro is still a high-risk investment as it will be expensive to construct the mine, get access to power and transport links and pay for processing. The group has $90 million (£55 million) in cash which is nearly two-thirds of its market cap while many issues hanging over the company are being resolved. It has settled a tax dispute with the Liberian government. Russian steel group Severstal (SVST) has paid the $50 million deferred cash from buying Afferro's Liberian Putu deposit in December 2011 and this month's confirmation of talks regarding a potential strategic partner should have finally calmed the market's concerns over how the small-cap miner will fund Nkout's development.

Positive metallurgical testing at its flagship Nkout project in Cameroon is helping to fuel the rally in Afferro Mining (AFF), following news of a potential strategic partner or takeover (6 December). We believe it is worth buying into this momentum as a strategic partner looks the most plausible outcome. It has 50 million tonnes of DSO (Direct Shipping Ore) material - high-grade iron ore - which should provide decent cash flow before it secures the power infrastructure needed to produce a sinter producer from the larger saprolite and magnetite resource at Nkout. The total resource is 2.5 billion tonnes at 31% average iron grade.

Yet after one month of 2013 General Retailers languishes in thirty-fourth place in the FTSE All-Share performance rankings as the reality of the long haul facing the cash-strapped consumer reasserts itself at the forefront of investors' minds. In a stark demonstration that bricks and mortar retail will not be propped up in the face of the migration to online retail and digital products, three major high street brands have already called in the administrators. Further failures are expected, consumer confidence may continue to falter and consensus forecasts could prove far too optimistic.

Yet after one month of 2013 General Retailers languishes in thirty-fourth place in the FTSE All-Share performance rankings as the reality of the long haul facing the cash-strapped consumer reasserts itself at the forefront of investors' minds. In a stark demonstration that bricks and mortar retail will not be propped up in the face of the migration to online retail and digital products, three major high street brands have already called in the administrators. Further failures are expected, consumer confidence may continue to falter and consensus forecasts could prove far too optimistic.

Yet after one month of 2013 General Retailers languishes in thirty-fourth place in the FTSE All-Share performance rankings as the reality of the long haul facing the cash-strapped consumer reasserts itself at the forefront of investors' minds. In a stark demonstration that bricks and mortar retail will not be propped up in the face of the migration to online retail and digital products, three major high street brands have already called in the administrators. Further failures are expected, consumer confidence may continue to falter and consensus forecasts could prove far too optimistic.

Yet after one month of 2013 General Retailers languishes in thirty-fourth place in the FTSE All-Share performance rankings as the reality of the long haul facing the cash-strapped consumer reasserts itself at the forefront of investors' minds. In a stark demonstration that bricks and mortar retail will not be propped up in the face of the migration to online retail and digital products, three major high street brands have already called in the administrators. Further failures are expected, consumer confidence may continue to falter and consensus forecasts could prove far too optimistic.

Yet these positives were overshadowed by a very disappointing turn from the Rest of Europe. Same-store sales fell 11.5% as solid performances in Belgium and the Irish Republic were more than offset by weak demand patterns in Holland. Broker Execution Noble believes June's full-year figures will show taxable profits of £8.4 million for earnings of 9.3p per share. Based on those estimates, the shares are selling on a lofty 73 times prospective earnings. Since profits could well take a long time to catch up with this valuation,........BUT AS ALWAYS DYOR good luck.......

Exposure to weak consumer demand for 'big ticket' purchases and moribund European housing markets, not to mention a lofty valuation, are key reasons to sell Carpetright (CPR). Last week (29 January), the recovering European carpet and floor coverings seller, with form in disappointing the market, actually posted a better-than-expected third quarter update. Over the 13 weeks to 26 January, the £456 million cap's busiest period of the year, UK like-for-like sales grew 3.2%, with total sales up 1.6% on the retailer's home turf. Darren Shapland, who took over as boss of the Purfleet-headquartered business from founder Lord Harris of Peckham last May, attributed the upturn to momentum behind self-help measures.........

Dignity's £58.3 million swoop for funeral and crematoria outfit Yew (22 January), a debt and equity funded-deal and the firm's first major corporate move since flotation in 2004, adds a further 40 funeral homes to the existing 620 and takes the crematorium portfolio from 36 to 38. For calendar year 2012, N+1 Singer is looking for 10.5% growth in taxable profits to £46 million and 13% growth in earnings per share to 62.1p. For 2013, the broker believes £52.8 million profits and a further 12.5% earnings per share advance to 69.8p are achievable. While the shares are not cheap on almost 17 times estimated 2013 earnings, secure and progressive dividends and scope for a further chunky cash return in 2013 bolster the stock's attractions.

Ride the positive momentum at Dignity (DTY), one of Shares Magazines tips for 2013. The funeral services star boasts pricing power and highly predictable cash flow. The £638.5 million cap provides funerals from more than 600 UK locations. Also Britain's biggest single crematoria operator, the company has a burgeoning book of pre-arranged funeral plans which represent future incremental business for the funerals division, as Dignity expects to perform the majority of these services.

For the year to March 2013, Investec Securities forecasts improved taxable profits of £23.6 million for 4% growth in earnings per share to 27.1p. A 9% advance in profits to £25.8 million and 11% improvement in earnings per share to 30p are conservatively shaded in for 2014 to place Majestic on a prospective price/earnings ratio of 14 times. That rating is merited and represents a price worth paying for one of the UK retail's few organic growth stories.

Weakness in the wake of a less-than-sparkling Christmas update (8 January) presents investors with a buying opportunity at Majestic Wines (MJW). With a washout 2012 leaving a soft base for comparison, the £270.3 million cap could soon embark upon a fresh earnings upgrade cycle. UK like-for-like sales over the seven weeks to 31 December crept 1.1% higher as hard-pressed consumers left wine purchasing to the last minute. Majestic could still comfortably beat easy comparative metrics over the summer months, while the Watford-based business' strong cash generation will ensure the roll out of new stores continues with associated market share gains. As well as latent profitability within maturing stores, the web offers a further potential upgrade catalyst.