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Brand CEO Alan Green discusses a range of topics MKS, ASOS & TYM with Zak Mir on TipTV

The opening segment of today’s London open show has Alan Green, CEO of Brand Communications and Tip TV’s Zak Mir discuss broad range of topics, from risk-on appetite in the markets to UK politics, Japanese stimulus talk and its implications on the financial markets. Green also discusses his stock picks – ASOS (ASC), Marks & Spencer (MKS) and Tertiary Minerals (TYM) – and presents technical and fundamental rationale for the same. The show concludes with a look at Broker forecasts.

Galliford Try – Are Housebuilders Running Out Of Steam

Galliford Try GFRD expects record results for the year to 30th June which as a housebuilder, is only what one would expect. Underlying demand, the availability of mortgage finance and of course the governments Help to Buy Scheme all give cause, says the company, for continued confidence. Completions for the year rose by 11% from 2769 to 3,078 units However as with other house builders there are some warning signs on the horizon. Firstly the average private sales price rose by only 2% which is miniscule compared to what the housebuiders have been getting away with over the past few years. Secondly, which is more worrying, revenue secured for the new financial year is down to 82% from last years 88%.

ASOS plc ASC has enjoyed strong retail sales growth during the four months to the 30th June. Even the UK has been strong with a rise of 28%. International retail sales slightly beat that with a rise of 30%, the US leading the way with a jump of 53%.

Dechra Pharmaceuticals DPH saw strong trading in the year to the end of June with like for like revenue growth of 11%. Overll growth including acquisitions, came out at 21%. Dechra is one of the few company’s to describe the collapse of sterling as a currency headwind but it claims this has impacted growth by 3%.  North America produced excellent results with growth of 37%.

Hotel Chocolat Group HOTC which launched on Aim in May, saw revenue for the year to 26th June  slightly ahead of market expectations with a rise of 12% whilst digital rvenues were up by 20%.

 

Rhythm One plc RTHM expects first quarter trading to the end of June to be materially ahead of management expectations.  A return to full year profitability is expected in 2017.

 

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TipTV Daily Market Roundup with Brand CEO Alan Green & Zak Mir

Watch the TipTV Daily Market Roundup with Brand CEO Alan Green & Zak Mir. Stocks discussed include ASOS (ASC), Michael Page Intl (MPI), British American Tobaccos (BATS), Just Eat (JE.), ITV (ITV) plus the outlook for Gold.

Not Even A Nation Of Shoppers

England used to be a nation of shopkeepers but those days are long gone, thanks to the allegedly super efficient Lidl and Aldi but it now looks like we are not even a nation of shoppers.

The first half results for ASOS ASC has growth in EU and US up by 31 and 34% respectively, leaving the UK trailing behind with a rise of 25%. Alright let us not  forget that the EU is a super rich trading area with super rich member countries like Greece, Portugal, Bulgaria etc etc. It leaves Diddy David’s lies about the strength of the UK economy, looking even more threadbare.

Profit before tax at ASOS rose by 18% for the six months to the end of February and active customers rose by 17% as momentum continued to improve.

The shares have done well over the past 6 weeks having risen from 2,600p in late February to 3,450p  on Friday last.

Tyra Tech TYR made 2015 a step change year, with revenue up from $4.9m to $7.4m, thanks to Vamousse, its killer head lice treatment and shampoos which have taken the US and the UK by storm, whilst its mosquito repellant is number one seller on Amazon. Market penetration expanded rapidly during the year and by 31st December the company had 34,000 US stores and supermarkets plus another 7,800 in the UK. More expansion in both existing markets and geographically, is promised for the current year.

The company is still making a net loss before tax but 2015 saw this fall from $5.1m to $2.3m The shares had a major collapse in september, falling drastically from 5.40p but recovery was soon under way and they are now at 3.13p

Good times are here, says the chairman of Next Fifteen Comm NFC as revenue for the year to 31st January rises by 18.9%, profit before tax by 28.8% and EBITDA by 31.5%. The dividend is raised by 20% as more is promised  for 2016.

The shares of Fishing Republic FISH have doubled since late February with a rise from 16p to a high of 32p but one may wonder if this has been overdone somewhat, as they have weakened on today’s full year results. True second half sales rose by 45%, full year sales by 22% and online sales by 30% but profit before tax and exceptional items rose by only 3%.

The Chief executive says it was an exciting year – let us hope it will not get too exciting.

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Daily Actions – UK Main & AIM markets 10022016

IntellisysLogoDaily Actions is a daily summary analysis of changes in short term actions from our Daily Recs – AIM and Daily Recs Main markets reports. This report is typically distributed before the open of trading in London.

AIM Market

ST Rec. changed
From To
Banks & Investment Banks
Arden Partners Neutral Sell
Basic Resources    
Jubilee Platinum Neutral Buy
Rose Petroleum Neutral Buy
Zincox Resources Neutral Buy
Chemicals    
Inspiration Healthcare Group Buy Neutral
Financial Services    
Dragon-Ukrainian Properties & Development Neutral Buy
Fletcher King Buy Neutral
Urban Civic Neutral Buy
Health Care    
Eco Animal Health Group Neutral Sell
Industrial Good & Services    
Begbies Traynor Group Sell Neutral
TP Group Neutral Buy
Gooch & Housego Sell Neutral
Hargreaves Services Neutral Buy
Restore Sell Neutral
21st Century Technology Sell Neutral
FW Thorpe Neutral Sell
Oil & Gas – Explorers    
Xcite Energy Neutral Buy
Oil & Gas – Producers    
Northern Petroleum Neutral Buy
Retail    
Asos Neutral Buy
Technology    
DDD Group Neutral Buy
Telecommunications    
Armstrong Ventures Neutral Buy
Travel & Leisure    
Best of the Best Neutral Sell

 

Main Market

ST Rec. changed
From To
Automobiles & Parts    
Lookers Buy Neutral
Banks    
Barclays Neutral Buy
Engineering & Machinery    
Hill & Smith Sell Neutral
Leisure & Hotels    
Carnival Buy Neutral
Mitchells & Butlers Buy Neutral
Media & Entertainment    
St. Ives Sell Neutral
Personal Care & Household Products    
PZ Cussons Neutral Buy
Real Estate – REIS    
CLS Holdings Neutral Buy
U & I Group Buy Neutral
J Smart Neutral Sell
Software & Computer Services    
Aveva Group Buy Neutral
Support Services    
AMEC Foster Wheeler Neutral Buy
Michael Page International Neutral Buy
Shanks Group Neutral Buy

 

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Kicking Asos – Another Entrepreneur Bites The Dust

They’re at it again. The faceless ones have moved in on yet another icon of British commerce and demanded that the brilliant founder, the man with ideas, the man with drive, the man with initiative, falls on his sword and departs from the huge business which he created.  This time it is ASOS founder Nick Robertson who is being forced to leave “with immediate effect” – those chilling words, the modern equivalent of “et tu Brute” as the knives are wielded and the bloodied corpse collapses on the boardroom floor.

Who are these people – they are to a man (or woman) accountants and finance officers,  people who have never had the wit  to create anything. People who have never dreamt the dream, who have never inspired others with a vision of what can be.

Asos founded by Nick Robertson in 2000 became a global household name, with a turnover of billions and offices and warehouses in Europe, North America and Asia. But in March profits fell by 10%, hit by the cost of investment and the rise in sterling. So today Mr Roberson is out. replaced by a finance officer – one of the professionals who immediately blame anything from “currency headwinds” to “challenging circumstances” for the failings of the companies which they so mismanage.

And it happens time and time again. The faceless ones can not wait to get their hands on a company with a brilliant founder. Look at Marks & Spencer (MKS) – not a Marks, not a Sieff involved in the management and the result is that nobody shops there anymore – they all go to Primark. Tesco (TSCO), founded by “pile it high and sell it cheap” Jack Cohen and destroyed by an over ambitious chief executive who mistakenly thought he knew how to retail to California. Morrisons (MRW) founded by that brilliant lad from Bradford, our Ken who knew more about retailing than all the accountants in the Chartered Institute. Look at Morrisons now, since the numbers people took over.

No wonder Lidl and Aldi are having such an easy time. It explains a lot about the state of the UK economy., not just retailing.

 Invest in real estate in Greece – http://www.hiddengreece.net

 

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