Updates

Aldermore - Shares dirt cheap on prospective PE of 7.7

April 2016

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.

The shares are nicely ahead of last month’s tip, with results a little ahead of expectations. Underlying pretax profit rose 75% to £99m vs consensus of £95.5m, the beat coming from lower impairment losses of £10.4m (consensus: £13.6m). Eps rose 73% to 22.6p. The net interest margin (the spread between income from borrowers and its own funding costs) improved from 3.4% to 3.6% while its key cost to income ratio improved from 64% to 53% and remains on track to fall to 39% by FY’17, setting up soaring eps growth.Deposits grew 29% to £5.7bn while net loans jumped 28% to £6.1bn, with loan book growth of £1.3bn. New mortgage originations increased by 21% for asset finance, ...

To access our archive of articles and to receive current issues you need to subscribe.

Subscribe now

Already a subscriber? Login

Nichols

TMI Trader Portfolio - April 16

Aldermore - Cost to income ratio improves to 45% (October 2016)

Aldermore - Fast growing challenger bank on dirt cheap prospective PE of 6.7 (March 2016)

Aldermore - NIMâ€ˆjumps from 3.3% to 3.6% (October 2015)

Aldermore - Fast growing challenger bank filling gap in lending market (May 2015)

Allied Gold (March 2012)

Allied Gold (September 2011)

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.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X