Markets
Market outlook: Fresnillo, ASOS, Ladbrokes, Aggreko
11 April 2011
Nick Raynor, investment adviser at The Share Centre, gives his views on the companies announcing results this week (w/c 11 April 2011).
Wednesday 13 April 2011
Fresnillo (FRES.L) - Trading statement
Commodities are still seen to be the area to invest in at the moment as there is a continued level of uncertainty within the markets. Gold is evermore popular and Fresnillo offers investors exposure to that commodity. The added bonus is that Fresnillo also produces silver in huge amounts. Recent results show that profits have doubled to over $1bn and we are expecting this rich vein of form to continue in the first update for Fresnillo's new financial year.
BUY.
ASOS (ASC.L) - Trading statement
Apparently retailers are having a hard time of it lately but if this is the case there have been no signs of it in ASOS's share price performance. This may have something to do with the overseas operations that the company now has or that bid speculation is continuing to circle the market. Danish fashion group Bestseller currently own 20.3 per cent of ASOS but there have been no further additions to their holdings for the last two months, they could be waiting for the trading update.
BUY.
Friday 15 April 2011
Ladbrokes (LAD.L) - Trading statement
Apparently the Cheltenham Festival and recent football results have not been going the bookies way and so we are not expecting much to celebrate from this update. Betfair and William Hill have already mentioned that recent times have not been the best and so we feel that there will be nothing different on offer from Ladbrokes. Recent performance has not been good and the Ladbrokes share price chart looks good for skiing on.
NO RECCOMENDATION.
Aggreko (AGK.L) - Interim management statement
Aggreko have recently signed some good contracts and continued to push their recent momentum. Aggreko benefit from a variety of situations that have stood the company in good stead for many a year, whether it is a natural disaster or a major sporting event. Recent price levels are looking slightly high but this update could justify a re-rating.
HOLD.
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