Friday newspaper share tips: Experian, Supergroup

15th Jul 2016 08:56

(ShareCast News) - There's more to go for at Experian, The Daily Telegraph's Questor said, pointing to the recent successes by the company when it comes to product innovation and cultivating more communication between its business units.That innovation is serving the company well, allowing it to grow the business in areas as varied as health, fraud and analytics.Hence expectations for a strong year at Experian.In that regard, Questor noted how the firm's US credit services arm achieved double-digit rates of growth over the last two quarters of 2015-16.The company's boss, Brian Cassin, who was appointed two years ago, had focused on key growth opportunities, including cultivating more communication between its business units.On the flip side, the tipster admitted there were some risks stemming from weaker consumer confidence in the UK, from which Experian extracted 24% of its profits.Nevertheless, with analysts suggesting target prices of between £15.40 and £16, Questor said 'buy' because "there is still some room to grow".The Times´s Tempus hailed SuperGroup´s transformation into an income stock, adding that the drivers for the company´s growth were already there.At the operating level, it was also looking more like a proper company, it added.Its new US and Chinese operations were loss-making, but the red ink at the former should be staunched this year after five new stores open.Capital outlays was up a bit as the fashion group built two distribution centres, in the US and Europe, but would fall back next year.Even so, net cash at year-end was ahead at just over £100m.After the compay´s two founders stepped back corporate governance also looked "more regular", Tempus explained.Selling on 19 times earnings the shares were not cheap, Tempus said, yet added, "but I would go with them long term. Buy".