Money Week

MoneyWeek’s comprehens­ive guide to this week’s share tips

Five to buy

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1Spatial The Mail on Sunday

The UK is an underappre­ciated technology “hot spot”, with a tech economy worth £800bn. Many of the Silicon Valley tech giants run UK operations and there is a thriving sector of smaller firms with specialist know-how. This Cambridge-based “geospatial data management” business “exemplifie­s the breed”. It works on the data used in “digital maps” that helps companies and government­s to “understand where assets such as property, pipes and plant life are located”. The shares have climbed by 65% in five years, but as it continues to win customers there should “be more to come”. 62p

e.l.f. Beauty The Telegraph

This cosmetics group is one of America’s “most sensationa­l” recent consumer success stories. The company tailors its offering to Generation Z, who love its clean, vegan and quality products at accessible prices. It achieves that tricky task through smart operations, with a “hybrid supply chain” that lets it pivot quickly between suppliers. On 57 times forecast earnings, “the rating is in nosebleed territory”, but it remains a favourite among fund managers for its strong growth prospects and excellent returns on capital. $201

McBride The Sunday Times

This maker of supermarke­t own-brand cleaning products is cashing in on the cost-ofliving crisis. McBride supplies “unbranded detergents” and sprays to 49 of Europe’s top 50 supermarke­ts, and the lines are booming as consumers trade down from pricey branded alternativ­es. The shares have soared of late, but still appear to offer value on 6.5 times next year’s forecast earnings, a discount of about a third to the pre-2022 five year average. 94p

Premier Foods Interactiv­e Investor

The maker of Mr Kipling and Bisto gravy is “getting its act together”. Debt-fuelled growth in the 1990s took time to digest and there was also uncertaint­y over pension deficits. That has now been cleared up, freeing up cash flow for expansion and dividends. While processed food is out of fashion, many of Premier’s brands will always “be part of the national psyche”. On a forward price/earnings (p/e) ratio of just 11.5, the shares merit a fresh look. 156p

Primary Health Properties Shares

This real-estate investment trust invests in the “modern, purpose-built primary care facilities” that the NHS needs to deal with the challenge of an ageing population. Long-term leases to government-backed bodies make for a highly reliable income stream and near-100% occupancy rates; 28 consecutiv­e years of payout growth put PHP among the FTSE’s “dividend royalty”. On a 21% discount to net asset value and on a 7.7% yield, the stock seems cheap. 90p

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