Wednesday tips round-up: easyJet and Salamander Energy

7th Dec 2011 07:13

The Telegraph's Questor column takes a look at Salamander Energy. The company has significant oil and gas assets in Indonesia, Thailand, Vietnam and Laos and produces up to 19,000 of barrels of oil equivalent per day. However Salamander has failed to make the "transformational" discoveries it has often implied are just around the corner and it currently trades at 9.5 times earnings having seen shares drop 22% since the start of this year. With a new exploration campaign due to yield results by January, Questor says don't buy but hold.The Times Tempus column looks at the prospects for easyJet, the supposedly "budget" carrier which is actually trying to move upmarket. The company yesterday released passenger numbers for November which were up by 3.4%. This comes at the same time as the company attempts to introduce a system for booking seats - a clear shot at winning more business customers. Nevertheless, easyJet still has problems. It is almost certain to reveal a loss for the first half of its year in March and then there is the problem of Stelio Haji-Ioannou, the firm's founder and still a 37% shareholder who is likely to continue trying to interfere in the company's management. As Tempus points out, the shareprice has fallen significantly this year (down 14%) and yet still trades at 11 times earnings. Despite the move up market, Tempus says leave well alone.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.