…and some to hold, avoid or sell
4d pharma Investors Chronicle
This junior biotech is steadily progressing with its IBS (irritable bowel) treatment. But it’s moving into a cash-greedy trial phase for cancer and asthma treatments and needs “further significant progress” to raise capital. Sell. 365p.
Intercontinental Hotels The Sunday Times
Shares in the hotel operator leapt after the Brexit vote, thanks to US revenues. But bumper dividends have been funded by property sales. The group is now “asset light” with deteriorating revenues. Sell. £40.93.
Revolution Bars Group The Daily Telegraph
In May shares in the bar chain dropped on a profit warning, but rose on an improved outlook and takeover interest. Now a major backer, Slater Investments, has sold, citing a 4% premium to a bid offer. Follow suit. Sell. 211.5p.
Stagecoach Group Investors Chronicle
The bus and rail operator looks cheap, but London bus revenues are expected to fall rapidly following the loss of TFL contracts, and growth in regional buses is declining. A spate of contract losses is worrying. Sell. 167p.
Stanley Gibbons Investors Chronicle
The troubled stamp and coin specialist has suffered a 48% fall in asset values, a 28% decline in revenues and widening losses. The company is now in default and dependent on its bank maintaining support. Sell. 7.8p.
WM Morrison Sharecast
After two years of “stellar execution” since David Potts became CEO, self-help and catch-up opportunities are now “more limited” for the grocer. Berenberg fears a slow-down in momentum could drive a de-rating. Sell. 235.8p.