Share tips of the week

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.

Three to buy


(The Mail on Sunday) The UK is a world leader in chilled food and Bakkavor is the top player. The group produces more than 12 million products every week for supermarkets, including “tons of garlic bread, hummus and every variety of pizza”. Consumer sentiment is improving and there are compelling overseas opportunities in markets such as the US, where the chilled food sector remains underdeveloped. On 4.4% the dividend yield provides a “tidy income”. 136p

Renew Holdings

(Shares) The government is poised to start spending more on the UK’s infrastructure, which badly needs an upgrade. That spells opportunity for this engineer. Renew works on the essential maintenance of rail, water, telecoms and nuclear decommissioning. Such work is often required by regulations, so business tends to be more predictable than for engineering peers (although Renew must still win the contracts in the first place). On 12.2 times forecast earnings the shares are a reasonably-priced way to play the UK infrastructure boom. 510p

Subscribe to MoneyWeek

Become a smarter, better informed investor with MoneyWeek.


(Barron’s) The third-biggest US mobile operator has spent the best part of “two years in Wall Street purgatory”. A proposed merger with rival Sprint has got stuck in the “regulatory maze”, with the resulting uncertainty weighing on the shares. However, a court judgement in the coming weeks is likely to draw a line under this episode, and whatever happens T-Mobile is “sitting pretty”. It is growing faster than its peers and the billions it would have spent on Sprint could be used to “resume share buybacks” if the merger falls through. It “doesn’t need Sprint to succeed”. $79.19

Three to sell

(The Sunday Telegraph) What happens when a digital disrupter is so successful that there is little more growth to grab? Founded in 1993, this price-comparison website has shaken up everything – from insurance markets to credit cards, loans, energy and broadband. Yet this is now a mature market that will only grow if the wider economy does. Heavy reliance on Google also makes customer numbers volatile. On 18.1 times this year’s earnings the shares aren’t expensive, but “they don’t merit inclusion on a best-buy list” either. Sell. 326p 

Advertisement - Article continues below


(The Sunday Times) Soaring global protein consumption means that farmers are looking for new ways to keep up with demand. That is good news for this livestock genetics firm, which helps farmers improve disease-resistance and yields. Chinese plans to rebuild pig herds after the decimation caused by African swine fever bode well. Yet the shares are up almost one-fifth over the past six months and on a price/earnings ratio of 267 there is scant further upside. Avoid. 3,080p


(The Times News) of its first consecutive quarterly profit has sent the market valuation of Elon Musk’s electric car company up to $115.5bn. Volkswagen is valued at $90bn even though it “sells more cars in a fortnight than Tesla sells in a year”. Yet with the incumbents muscling in with their own electric lines there is no guarantee that Tesla will maintain its lead. Even if it does, the shares, trading on “more than 200 times this year’s estimated profit”, look overvalued. Sell. $640.81

...and the rest

The Daily Telegraph

Nasdaq-listed CrowdStrike is pioneering a “revolutionary new defence” against computer viruses and its sales have been doubling annually. This may be a chance to invest in a “Silicon Valley star of the future” ($59.07).

Investors Chronicle

Those wishing to make a contrarian bet on the slumping copper price should take a look at Central Asia Metals (210p). Shares in specialist industrial play RHI Magnesita have hit rock-bottom but the group has reduced costs and its markets could be about to turn up. A speculative buy (3,616p). Commercial property group LXI Reit boasts a diverse and defensive portfolio encompassing healthcare, hotels, supermarkets and leisure. Buy (135p)


Henderson EuroTrust offers exposure to some of the best quality businesses on the continent and trades on a discount to net asset value of 7.5% (1,208p). Good news on all fronts means that for FTSE-250 IT reseller Computacenter the prospects just “get better and better”. Earnings could surprise on the upside in 2020 so keep buying (1,798p). An expectation-beating 2019 and improving margins mean that electronics and LEDs specialist Luceco has had a great start to the year and the outlook remains auspicious – buy (148p). Investors should look past a “mixed” update by premium chocolatier Hotel Chocolat – the US and Japan remain compelling growth prospects (430p)

The Times 

Buy-to-let and commercial lender Paragon Banking Group has a “solid strategy” and could be a takeover target (510p).  Clinical trial specialist Clinigen is good value and growing fast (979p)



Share tips

Share tips of the week

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
17 Jan 2020
Share tips

Share tips: eight stocks that should deliver robust returns

Ryan Ermey of US publication Kiplinger’s Personal Finance chooses his favourite stocks for the next decade, which should be able to grow for years.
28 Dec 2019
Share tips

Share tips of the week

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
20 Dec 2019
Share tips

Share tips of the week

MoneyWeek’s comprehensive guide to the best of this week’s share tips from the rest of the UK's financial pages.
13 Dec 2019

Most Popular


Will coronavirus kill off the bull market?

It seems clear now the coronavirus will at some point go global. And when it does, will it bring down the stockmarket’s bull market? John Stepek looks…
27 Feb 2020

What to look out for as panic over coronavirus spreads

Markets have started to get properly worried about the coronavirus outbreak. And it’s not just stocks, says John Stepek. Here’s what you should be kee…
28 Feb 2020
Investment strategy

Just five assets matter for investors. Here's what they are

Every investor’s needs are different – but most can be met by the right combination of five investments
11 Feb 2020

The rare earth metal that won't be a secret for long

SPONSORED CONTENT – You can’t keep a good thing hidden forever; now is the time to consider Pensana Rare Earths and the rare earth metals NdPr.
31 Jan 2020