Friday tips round-up: AB Foods and Cluff Gold

20th Jan 2012 06:55

The Tempus column in the Times leads with Associated British Foods (ABF), the owner of the Primark chain of discount shops and also a major sugar producer.Tempus argues that this is a defensive stock, with a very wide spread of businesses. Primark is doing well, with total sales up 16%, while the sugar business is going great guns with revenues climbing 21% and a bumper harvest in the UK.Tempus notes that the bread-making division, Kingsmill, is weak and that Grocery, which owns the Ovaltine and Twinings brands, is not quite as barn-storming as Retail or Sugar. But that's the point, ABF will usually have one or two divisions growing strongly, Tempus says buy.Meanwhile, Tempus's great rival, Questor, in the Telegraph, turns its attentions to Cluff Gold. The company has a mining project called Yaoure in the Ivory Coast which looks like it could make a pretty penny for the firm. The key has been changing the type of gold targeted from oxides to sulphides - which are more difficult to process. Nevertheless with a cheap power supply near to the plant Questor says the upside on Cluff is considerable (and better than your average ETF). Buy.bsPlease note: Digital Look provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look cannot take any responsibility for information provided by third parties. This is for your general information only as not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.