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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Nichols - Gain to date: 79%

April 2012

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

  • Epic Code:
  • NICL
  • Price:
  • 644p
Nichols produced results modestly ahead of expectations, which had been previously revised upwards in January, sending the shares to a new high of 656p. In the 12 months to 31 December pretax profit and sales rose 20% to £18.1m and £98.9m respectively. Eps increased 20% to 36.28p while net cash was £20.1m. In spite of high cost inflation operating margins rose 0.3% to 18.3%. While the UK soft drinks market excluding “on trade†grew by 7% in value terms, Nichols achieved a 14% jump in UK sales to £77.8m. This reflected record levels of marketing, which increased market shares for Vimto and Sunkist, as well as good performances from new products such as Vimto Sports Cap, plus the launch of its Caribbean range under the Levi R ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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