Friday tips round-up: Victrex, Balfour Beatty, Armour

8th Apr 2011 06:29

Victrex does nothing but polyether ether ketone, helpfully shortened to Peek. The group's factory near Blackpool produces the hard-wearing polymer in a vast array of shapes, sizes and varieties for use in everything from aircraft and electronics to artificial hip joints and vertebrae. Victrex has bags of potential, even with the widely predicted softening in the second half thanks to tougher comparisons and the drag from the special dividend. Buy, says the Independent.Yesterday, outsourcing and construction group Balfour Beatty unveiled a small acquisition, but it marks another step in the company's transformation. The shares are trading on a December 2010 earnings multiple of 9.1 times, falling to just 8.8 in 2011. The yield is also well worth having at 4.1%. Buy, says the Telegraph.Armour Group makes hi-fi and home-cinema equipment, including speakers and cables, as well as audio and visual equipment for cars. Britain is its core market, with 80% of the business based here. In yesterday's update, Armour said conditions "are difficult and have deteriorated significantly over the last six weeks". Sell, says the Independent.Investors in Matchtech, the staffing firm whose shares suffered a sudden tumble after it warned on full-year profits in February, must have been relieved when the company issued its interim results yesterday. There were no nasty surprises, and the update suggested that there had been some improvement, particularly in Matchtech's newly launched professional services brands. Buy, says the Independent.Yesterday's fourth-quarter update from electrical components distributor Electrocomponents was reassuring. The shares are trading on a March 2012 earnings multiple of 13.1 times, falling to 11.6 in 2013, which does not seem too demanding for a company that is showing strong growth despite tough comparables. Buy, says the Telegraph.Please 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.---RG