Boris Johnson's election triumph was a big boost for the shares of UK-focussed businesses. It's always good to assess fundamentals for longer term prospects of companies experiencing this sort of a bounce. Our growth-at-right-price (GARP) screen is a useful tool for assessing where there is underlying growth to complement the value premium for UK shares that has been unwinding since Friday.
- It’s interesting to follow the trend of a company’s performance against stock screens. Having scored full marks for the last couple of months, packaging specialist Macfarlane (MACF) now fails our forward earnings per share test.
- Going in the other direction, insurer Legal &General (LGEN), improves from passing six to seven tests out of eight. Now it only fails the free cash flow test.
- There are only seven tests for companies on the FTSE All Small Companies index. Leisure firm Ten Entertainment Group (TEG), which has been a big riser following the election, is amongst those scoring 7/7 on our screen.
- On Aim, there are seven companies that get full marks on the small cap tests, including gold mining and UK infrastructure focussed businesses.