Stock Watch 1 September 2010

The Share Centre’s top 5 customer buys from the last 7 days

1. BP – Price weakening as well not completely sealed yet, investors buying on this weakness.
2. Lloyds Banking – Banks have suffered falls since results coming out due to weaker markets, investors hoping to exploit this.
3. Barclays – Banks have suffered falls since results coming out due to weaker markets, investors hoping to exploit this.
4. RBS – Banks have suffered falls since results coming out due to weaker markets, investors hoping to exploit this.
5. Royal Dutch Shell – Investors looking for defensive shares with a dividend.


The Share Centre’s top 5 shares to follow:

1. Reckitt Benckiser Lower Risk – Looking to aggressively expand the company, latest purchase being SSL International.
2. Tesco Lower Risk – Big, solid, probably benefitted from the good summer and Christmas now only 3 months ish away.
3. Chesnara Medium Risk – Good figures released from the insurer, also going ex-div 8th Sept.
4. Royal Dutch Shell ‘B’ Medium Risk – Good yield and price of oil steady.
5. Kazakhyms Higher Risk – FTSE 100 company with high exposure to Copper.


Ratio of buys to sells = 68:32%
Top 5 most searched for companies on www.share.com


1. ROK
2. Legal & General
3. Taylor Wimpey
4. DSG International
5. Opsec Security


The Share Centre’s Share of the Week
Company: Kazakhmys  Share price: 1167p    Sector: Mining

Recommendation:    Buy
Risk category:    Higher
Investment class:    Growth
Opinion:

Kazakhmys remains a play on copper prices around 63 pct of earnings, however stake building in Eurasian Natural Resources ENRC, a rival miner which is 20 pct owned by the Kazakh Government starts to add some diversification to Kazakhmys’ business. ENRC is one of the world’s largest producers of ferrochrome.

Kazakhmys would the choice for any investors if they are wishing to gain exposure to copper through different means other than actually buying an ETC Exchange Traded Commodity in the product. Over two-thirds of its revenues are derived from the red metal and the remaining revenue comes from by-products and its power generation operation in Kazakhstan.

Profits have been boosted as average copper prices have risen 73% to 6,981 per tonne and global demand, especially from China is expected to keep this on the higher side.

Recent weakness has seen some commodity plays fall sharply recently but when taking a longer term view of the sector these weaknesses should be seen as buying opportunities, hence our upgrade to buy.


THIS DATA IS PROVIDED BY SHERIDAN ADMANS, INVESTMENT ADVISER AT THE SHARE CENTRE. THIS IS NOT INTENDED TO CONSTITUTE AN OFFER OR AGREEMENT TO BUY OR SELL INVESTMENTS.

Moneyextra.com recommends you take independent financial advice before acting on any article

2010-09-06 10:01:56 © Moneyextra.com