Sunday tips round-up: Ferrexpo, Wm Morrison, Kalahari...

13th Mar 2011 11:35

Ukraine's location and Ferrexpo's-strong transport links make the company the lowest-cost supplier of iron ore pellets to central and eastern Europe and the Middle East. In 2009, Ferrexpo's profits were $81.4m (£51m) but 2010 profits, to be announced in two weeks, are likely to be about $475m rising to at least $510m next year. Ferrexpo shares are 377.6p, but they should rise as the company ramps up production. Buy says the Mail on Sunday. Yorkshire-based supermarket chain Morrisons released full-year results last week. Pre-tax profit over the year to January 30 rose from £858m to £874m on sales of £16.5bn. Debt fell from £924m to £817m. The company said that it will return £1bn to shareholders, and pledged to up its dividend by at least 10% for the next three years. Morrisons trades on a 2012/2013 price-earnings ratio of 9.8 times. This is lower than rivals. With a market cap of £7.3bn, it is the UK's second-largest listed retailer after Tesco. Stick the shares in your basket. Buy says the Telegraph.Kalahari Mineral's shares soared to new heights last week after Chinese resources group CGNPC made a 290p-a-share cash offer. Talks between CGNPC and Kalahari are continuing but the Kalahari board is minded to recommend the bid, unless a higher offer appears. Kalahari shares are trading at 298p, suggesting the market hopes a third party will trump CGNPC's bid. Sit tight says the Mail on Sunday.Educational Development International designs, runs and administers professional and vocational exams in the UK and overseas. It received a takeover offer last week from publisher Pearson. It is offering 200p a share in cash and the bid has been recommended by the EDI board so is almost certain to go through unless the competition authorities intervene because Pearson already owns companies in related areas. Cautious investors could sell now. Others may choose to wait until Pearson hands them the cash says the Mail on Sunday.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.