Sunday newspaper share tips

By THIS IS MONEY
Updated:

 

EACH week, we round up the main share tips from the Sunday newspapers. For the Mail On Sunday's renowned Midas column click here.

Sunday Telegraph

Insurer Royal & Sun Alliance has seen a number of changes since chief executive Andy Haste took over two years ago. He has slimmed down the group to concentrate on three core markets and sold off underperforming businesses. The shares have stayed within a narrow range but are worth investing in for the long term at 78p.

Financial services group Investec, 1596p, is booming and last week announced a 55% rise in annual pre-tax profits. The asset management and private client operations increased operating profits by more than 50%. The shares have had a great run but are still cheap for a business growing at this pace.

Alternative Investment Market (Aim)-listed Statpro, which sells analytical software to fund managers, suffered from cuts in IT spending by its customers after the end of the dotcom boom. However, the shares have soared recently driven by an 11% rise in profits last year. At 50p, the stock should have further to go.

Sovereign Resources, which provides home reversion plans, is well-placed to benefit from a Government initiative to regulate the industry. Sovereign is growing fast in a rapidly expanding market, raising funds to acquire smaller rivals and build its assets. Buy at 300p.

The Business

Engineer Rotork, which makes systems for refineries and power plants, has strong positions in its main markets and all its three divisions have grown well organically as well as through selective acquisitions. It has prospects in Asia, Latin America and eastern Europe even if its more mature markets weaken. A long-term investment at 456.75p.

The jury is still out on the success of a restructuring at food manufacturer Canterbury Foods. The overhaul, which started in 2002, saw the group ditch the vegetable processing and meat trading divisions. Progress is slow, but the management is gradually chipping away at debt that has been holding the business back. A speculative buy at 28.5p.

Most watched Money videos