Our tested tip gives 7-fold return

DAVID Cicurel was 56 when he founded Judges Scientific. He had spent most of his life as a company doctor and wanted to create a business from scratch.

That was i n 2002 and today, Cicurel still runs the business and is the largest shareholder, with a 12 per cent stake in the business.

Judges Scientific specialises in scientific instruments, from microscope components to fire-testing products to soil-testing software.

Its customers include universities, such as Harvard and Cambridge, and businesses, such as L’Oreal and Procter & Gamble.

Cicurel’s approach is simple. He looks for clever firms in his field, buys them and helps to make them better. There are 2,000 scientific instrument companies in the UK alone so the choice is extensive.

However, Cicurel is nothing if not cautious. There have been just 18 acquisitions since Judges Scientific was founded. Each one has been carefully selected, as Cicurel firmly believes that when he spends company money, he should treat it as if it were his own.

The strategy has served shareholders well. Midas recommended Judges Scientific in 2012, when the share price was at £7.45. On Friday, the shares closed at £52.00, a sevenfold increase. And that excludes dividends, which have risen more than 10 per cent a year, with a 25 per cent increase last year to 50p and a £2 special payment.

Looking ahead, Cicurel acknowledges that times might be tough, as universities and firms rein in their spending. Longer term, however, he remains optimistic and wedded to double-digit dividend growth.