Shares in tiles retailer Topps Tiles (TPT) have had a great run since our tip. So much so that we now reckon it's a good time to stop buying. The share price has risen 23 per cent in 2013 alone, and that looks unsustainable.
IC TIP:
Hold
at
62p
The two biggest macro drivers for Topps are consumer confidence and housing transactions. These have been at low levels since their peak in 2007 and aren't likely to improve soon. Consumer confidence may even have further to fall. True, the flat housing market can make consumers more interested in home improvements, which has benefited Topps. However, until the housing market revives, home improvements can only translate into so much earnings growth.
