Updates

Prezzo - Restaurant operator sees substantial director buying

May 2009

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.

While restaurant operators have understandably been de-rated over fears of cuts in eating out budgets, the fall in mid-market pizza chain Prezzo's shares from a peak of 93p in May '07 to a low point of 20p in March looks to be a clear case of overkill. Even after its recent bounce Prezzo's market value is still just £67m, which after taking into account net cash of almost £10m and freeholds worth another £10m, means the underlying business is currently ascribed a value of just £47m. The shares effectively trade at around 3x cash flow, which is an extremely attractive entry point. Prezzo was founded by Jonathan Kaye and his Uncle Philip, a serial entrepreneur who needs little introduction, having rolled out ...

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Afren

Dragon Oil - New Year NAP showing gain of 56%

Prezzo - Accepts 126.5p offer (December 2014)

Prezzo - Receives bid approach (November 2014)

Prezzo - Time to top-slice some profit (June 2014)

Prezzo - Gain to date: 290% (November 2013)

Prezzo - Shares have gained a massive 290% (June 2013)

Prezzo - 15 restaurant openings (October 2012)

Prezzo - Restaurant operator expands estate by 37% in last two years (May 2012)

Prezzo (February 2012)

Prezzo - H1 ahead of expectations (October 2011)

Prezzo - Fast-growing restaurant chain likely to beat forecasts (September 2011)

Prezzo - Shares storm to new high (May 2011)

Prezzo - 11% eps upgrade (October 2010)

Prezzo - To open 10 to 12 restaurants this year (May 2010)

Prezzo - Shares wake up again (February 2010)

Prezzo - Forecasts upgraded (October 2009)

Prezzo - Balance sheet remains strong (June 2008)

Prezzo - Slows new openings programme (March 2008)

Prezzo - Results beat expectations (November 2007)

Prezzo - Restaurant owner sees fast roll-out of units (August 2007)

Prezzo - The new Ask Central? (May 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.

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