Tuesday tips round-up: Intercontinental Hotels, Domino Printing, GW Pharmaceuticals

22nd Jun 2010 06:47

Intercontinental Hotels, which yesterday relaunched its 2,500th Holiday Inn hotel, has had what can only be described as an excellent run of late.The shares are up about 18% since 25 May, and are more than 30% ahead of the levels seen at the beginning of the year. In terms of enterprise value to earnings before interest, tax, depreciation and amortisation, it's on a multiple of 10 times and has an adjusted free cash-flow yield of 5.7%. These metrics leave it on a 14% discount to American peers, which is promising. Buy says the Independent.It is the dividend that makes Domino Printing attractive to new investors. Do not necessarily expect to see great increases in the share price over the coming months, but backers can expect similar dividend increases to this year's 20% next year. Buy says the Independent.At 461½p, down 3½p, Domino shares trade at 13 times next year's upgraded earnings and provide a prospective 3.3% yield. That appears up with events, but the prospect of further emerging market growth ? and the outside chance of a bid ? give reason to buy on weakness adds the Times.Kewill provides services to businesses that need help streamlining their supply chains. The group sells software that simplifies logistics management, from sourcing to compliance and finance issues. The investment case is complicated by a bid, after it was approached in May with a deal worth 130p a share. It is worth picking up, however, even though the price is likely to fall in the short term if the talks break down. Buy says the Independent.Hedge fund BlueCrest AllBlue has consistently been one of its sector's strongest performers, with net asset value rising 12% in 2008, 22% in 2009 and 5% so far this year. The shares are trading at a premium to NAV, and provide no dividend. At 166p, hold on says the Times.It has taken 11 years and a £100m outlay, but yesterday the AIM-listed GW Pharmaceuticals became one of the first British biotech companies to take a new drug from the laboratory bench through to full commercial launch. The longer-term investment case rests on the remainder of GW's pipeline ? and in particular the potential to extend cannabis-based medicines to treat other conditions, such as pain in cancer. Stand aside for now says the Times.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.