Stock Watch

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

1. Lloyds Banking Group – Banks reporting season starting soon, expect more volatility.
2. Barclays – Results due, investors buying ahead of these.
3. RBS – Bigger exposure than some to bonds in Europe, increased volatility.
4. BP – Investors still buying after weakness brought about by poorer results.
5. Aviva – Upgraded to a buy at the Share Centre, investors taking notice.


The Share Centre’s top 5 shares to follow:

1. GlaxoSmithKline Lower Risk – Recent results from AstraZeneca only add credence that Glaxo is the much better of the two
2. Reckitt Benckiser Lower Risk – Good results shows stable growth, still further opportunities for investors to benefit from.
3. British Land Medium Risk – Reasonable results, worth buying for the long term
4. Vodafone Medium Risk – Plenty of growth potential and healthy dividend
5. Greggs Higher Risk – Large presence on High Street, worth having a nibble at


Ratio of buys to sells = 64:36


The Share Centre’s Share of the Week 15.02.10
Company: Vodafone    Share price: 138.5    Sector: Mobile Telecom
Recommendation:    Buy
Risk category:    Medium
Investment class:    Balanced

Opinion:

Vodafone’s half year report released in November 2009 contained little to excite both investors and analysts. Positive figures were overshadowed by concerns about future growth, especially in its mature markets where competition is heating up. There are also concerns in its emerging markets, especially in India, where worries that until consolidation occurs competition levels will remain very high.

The company announced that its cost saving measures, introduced with the intention of saving £1 billion by 2012, have been very successful, so much so that the target has been increased to £2 billion in that timeframe.

There is also the prospect of the group selling some of its stakes in other telecom groups.

Revenue figures rose slightly more than expected and profits almost doubled; last year’s figures were adversely affected by write downs.

The latest update was regarded as being broadly positive by the majority of analysts and we still find attractions for both income and growth seekers: the growth maybe slow and steady but that can have its benefits. In addition, your portfolio could benefit from the defensive qualities Vodafone offers should markets take the view that we have reached the end of the market rally.


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


 
 

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2010-02-17 09:00:16 © Moneyextra.com