…and some to hold, avoid or sell

BT Group Investors Chronicle

The telecoms giant is overwhelmed by a “pile of low-margin, capital-intensive, poorly managed businesses”. Low targets have been missed, and the pension deficit – a “major drain” – is estimated at £14bn. Sell. 203.9p.

Crest Nicholson The Daily Telegraph

The housebuilder has warned that margins may fall due to rising costs and flat sales prices. Still, turnover remains strong and Crest is securing land at good prices. The prospective yield is 7.4%. Hold. 434.8p.

The Times

After a 22-fold increase since floating at 134p in November 2014, shares have stalled. Yet a growing portfolio of drink mixers, and potentially lucrative inroads in the US, make long-term prospects compelling. Hold. £28.16.

Moss Bros Group The Times

The purveyor of men’s formalwear has issued two profit warnings this year amid plummeting sales and supplier problems. There may be tougher times ahead as fashion and shopping habits change. Sell. 49.7p.

The Times

Mothercare has been in a “seemingly never-ending turnaround”, with shares slumping by 94% in five years. The retail group still needs to cut operational costs and faces increasing competition. Avoid. 39p.

Ocado Group The Sunday Times

The online grocer has delivered a “potential blockbuster alliance” with US food giant Kroger, which will use Ocado’s robot technology in distribution centres. Take profits: groceries tend to have low margins. Sell. 800p.