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Capital spending recovery to boost Spectris

SHARE TIP: Spectris (SXS)
January 14, 2011

BULL POINTS:

â–  Further cyclical recovery potential

â–  Diverse industry exposure

â–  Strong developing market potential

â–  Trading is picking-up

BEAR POINTS:

â–  Shares not cheaply rated

â–  Will suffer if capital spending stumbles

IC TIP: Buy at 1308p

Spectris' shares may have risen by over 40 per cent since August's half-year results, but there's every chance that the rerating at at this well-managed industrial electronics specialist has further to run. The next boost should come when the group publishes an expected bullish pre-close statement - due on the day Investors Chronicle hits the news stands.

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