Welcome to our summary of the weekend's quality press tips, provided on Mondays by Weekend City Press Review.
PRESS TIPS:
The Times
■ Tempus: Martin Waller thinks Millennium & Copthorne Hotels is 'well up with events' at 531p (last IC view: Hold, 22 Feb 2013).
■ The Coca-Cola Hellenic Bottling Company - the second-largest bottler of Coca-Cola products in the world - is getting closer to securing a main market listing on the London Stock Exchange.
■ William Hill will be under pressure to provide further clarity on financing of recent deals when it reports 2012 figures on Friday (last IC view: Buy, 30 Jan 2013).
■ Time to take some profits in Interserve, one of the Tempus Tips of the Year, which has risen by more than a fifth so far (last IC view: Buy, 28 Nov 2012).
The Independent
■ No Pain, No Gain: Derek Pain says former portfolio member Nighthawk Energy, 4p, remains one of his "more unhappy experiences" on the stock market, with the shares acquired at 44p and sold at 14p after hitting a high of 107p at one stage. Now trying to reinvent itself as a shale oil & gas play, Nighthawk remains highly speculative (last IC view: Hold, 30 Mar 2012).
The Daily Mail
■ Investment Extra: Ian Lyall previews next month's IPO of the UK's 'first ever' green infrastructure fund, Greencoat UK Wind, which has been established as a yield play with the funding and development risk removed.
The Sunday Times
■ Inside the City: Danny Fortson thinks the hedge funds shorting Weir Group - currently the most shorted stock in the FTSE 100 - will not be pleased by the upbeat full-year figures due to be announced on Wednesday (last IC view: Buy, 6 Nov 2012).
■ William Hill has little real option other than to pay the price to buy out Playtech from their online joint venture, as if it fails to do so now the price will only get more expensive later (last IC view: Buy, 30 Jan 2013).
The Sunday Telegraph
■ Questor: Ben Harrington says avoid Premier Foods, 88p, as it remains "a risky investment proposition" (last IC view: Hold, 21 Feb 2013).
■ Hold easyJet, 999.5p, as it heads for the FTSE 100 index, especially as Sir Stelios Haji-Ioannou appears to have more "bark than bite" (last IC view: Sell, 20 Dec 2012).
The Mail on Sunday
■ Midas: Simon Watkins says keep buying Paragon, tipped last September at 206.5p and now 313p, as the shares should deliver a 2 per cent yield this year "with a realistic chance of some capital growth on top".
Business press headlines courtesy of Weekend City Press Review:
Moody’s strips UK of triple A rating
Moody’s downgraded the UK’s triple-A credit rating by one notch late on Friday, putting pressure on Chancellor George Osborne over the government’s economic strategy. The UK downgrade, which follows similar moves over the past year affecting the US and France, saw sterling fall to a new two-year low against the dollar at $1.5163. [Financial Times p.1]
Osborne on rack as Sterling set to tumble
Sterling is set to come under heavy pressure today as a result of the UK credit rating downgrade by Moody’s late on Friday, with some analysts suggesting the pound could fall to parity with the euro for the first time since the 2008 financial crisis. The Moody’s downgrade has put further political pressure on Chancellor George Osborne’s economic strategy, although he has made clear there will be no panic change of direction. [Sunday Times pp.1.1,1.6-7, 3.1, 3.5]
RBS lines up £5bn share sell-off
Royal Bank of Scotland is reportedly preparing for a £5bn share sale in late 2014, ahead of the planned 2015 general election. RBS, which is this week expected to reveal full-year losses of more than £5bn, could sell about 10 per cent of the shares held by the Treasury since the 2008 bailout. [Sunday Times pp.3.1, 3.6]
M&S big loser in New Year sales
New retail industry data suggests Marks and Spencer was the "biggest loser" from post-Christmas trading, with fashion sales down 1.3 per cent in the 24 weeks to 20 January and market share shrinking 0.4 per cent over the same period. The data, from Kantar Worldpanel, shows an acceleration of the downturn seen pre-Christmas and adds to pressure on CEO Marc Bolland. [Sunday Times p.3.1]
Shopping giant weighs cash call to fund spree
Intu Properties, the FTSE 100 group formerly known as Capital Shopping Centres, could unveil a £300m share placing this week to finance a £250m deal to buy the Midsummer Place mall in Milton Keynes from Legal & General. But sources close to Intu said the share placing – a faster way to raise funds than a rights issue – was only one option being considered. [Sunday Times p.3.1]
Centrica reveals its £14bn boost to the Uk economy
Centrica will claim this week that it contributes more than £14bn to the UK economy from taxes, job creation and "many thousands" of contracts with small and medium-sized suppliers. The economic impact report prepared by Oxford Economics will be delivered along with Wednesday's full-year figures, expected to show profits up 15 per cent to £2.77bn. [Sunday Telegraph p.B1]
RBS plans cuts to investment bank in push to stem losses
Royal Bank of Scotland will this week announce plans for a downsizing of its investment banking division to head off growing government pressure to close it down completely. The move will accompany the full-year figures on Thursday, expected to show losses of at least £4bn. [Sunday Telegraph pp.B1, B6-7]
