Primary Recommendation

Stobart - Heavy cluster buying by directors

August 2019

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.

A longstanding overhang from Neil Woodford’s funds, which held 18%, has finally lifted with the shares placed out, causing me to look at fully listed Stobart. Given its two main businesses operate in terrific hot spots, new investors lapped up the shares, which yield over 5% and yet sit two thirds off their high point.Infrastructure group Stobart’s two main businesses consist of a renewable energy business in which it supplies wood waste to energy plants (which provide generous long-term pricing contracts backed by Government subsidies) and London Southend Airport. The latter is the only one out of six airports in the Capital to have significant spare capacity at a time when demand for low cost flights, which it provid ...

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UP Global Sourcing - Four eps upgrades since November but prospective PE still just 9.4

Stobart (February 2020)

Stobart (November 2019)

Stobart (October 2019)

Stobart - Seven directors buy shares (July 2019)

Stobart - Still on track to triple EBITDA by FY 22 (December 2017)

Stobart - Target to grow EBITDA from £35m to £98m between 2017-2022 (July 2017)

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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