Secondary Recommendation

Umeco - Major extension to Rolls-Royce contract

July 2002

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.

Shares in aerospace components distributor, Umeco, one of our five New Year NAPS, rose 32.5p on the day of their final results and now stand 33% above our recommended price. We met the management again after their results. In the face of collapsing demandfrom key customers like BA, because of 11 September, it was reassuring to see Umeco's pretax profit, before a Â£1.1m exceptional item, only slip 9% to Â£10.1m, for earnings of 28.8p. Turnover rose 16% to Â£191m, reflecting a first time 10 month contribution from US based Abscoa. This resilient performance was accompanied by news of a major extension to an existing contract with Rolls-Royce, Umeco's biggest customer. Analysts have upgr ...

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

Subscribe now

Already a subscriber? Login

Peter Hambro Mining - Exciting recent gold issue

New Economy Stocks fighting back

UMECO (May 2012)

Umeco - Piggy-backing on demand for Boeingâ€™s â€œDreamlinerâ€ (January 2012)

Umeco - Activity levels high in civil aerospace (December 2004)

Umeco - Recovery in civil aerospace (October 2004)

UMECO (August 2004)

UMECO - Acquires Advanced Composites (May 2004)

Umeco - Buoyant new business pipeline (March 2004)

UMECO (December 2002)

UMECO - 355p price target (September 2002)

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