http://www.stockopedia.co.uk/Stockopedia - http://www.stockopedia.co.uk/Edison Investment ResearchMon, 20 May 2013 14:40:21 +0100Finsbury Growth Income Trust (FGT) maintains a relatively concentrated portfolio of 25-30 stocks, with a focus on well-managed businesses with strong franchises. FGT has an experienced management team, which uses a bottom-up strategy to select positions that are held for the long term (turnover is just over 6% per year). It is moderately geared, aims to provide an above-average dividend yield, and its strong record of outperformance has continued during the last year. During the last 10 years, FGT has outperformed its benchmark, the FTSE All-Share, by 159.6% and 227.7% in terms of NAV and share price total return respectively.http://www.stockopedia.co.uk/research/consistent-long-term-outperformance-73445/http://www.stockopedia.co.uk/research/consistent-long-term-outperformance-73445/Edison Investment ResearchMon, 20 May 2013 13:09:36 +0100Given the disclosure through the year, we do not believe the full-year results (to end-March) will surprise the market. There was a c 1% beat in the core business revenue and continued good treasury income. The benefit of diversification has been seen, with pressure in the core equity businesses offset by growth elsewhere. With the now-completed LCH.Clearnet acquisition, clearing will grow to nearly a quarter of the group, further reducing equity market sensitivity.http://www.stockopedia.co.uk/research/diversification-pays-again-73440/http://www.stockopedia.co.uk/research/diversification-pays-again-73440/Paul ScottMon, 20 May 2013 10:36:25 +0100Pre 8 a.m. comments Good morning! A fairly quiet morning for small cap announcements, so nothing earth-shattering to say before 8 a.m. A share that is high on my watch list, but haven't yet hit the button to buy, is Newriver Retail (LON:NRR) - a property REIT with a fantastic dividend yield of around 8% (not well covered though). Although it sounds unattractive, having invested in secondary retail properties, management appear to be very energetic in driving value out of their properties, and their tenant mix is firmly value-orientated, hence not susceptible to competition from the internet, nor likely to see much of a downturn in trading if the economy worsens. They announce that planning permission has been granted to extend and improve their shopping centre in Birmingham. Sounds positive, although no financial details are given.   Snoozebox Holdings (LON:ZZZ) has announced that the founder, Robert Breare has resigned, and left the company with immediate effect. He had already stepped down as CEO, but was going to continue in a business development role. Doesn't exactly inspire confidence for their refinancing which is underway - I'm keeping well...http://www.stockopedia.co.uk/content/small-cap-report-20-may-nrr-zzz-tng-zyt-73413/http://www.stockopedia.co.uk/content/small-cap-report-20-may-nrr-zzz-tng-zyt-73413/Edison Investment ResearchMon, 20 May 2013 10:25:21 +0100Silverdell has a medium-term target of 15% revenue growth. However, with its current funding capability the company will be restricted to achieving closer to 7-8% growth. If it is able to raise further funds it could exploit more of the ample opportunities open to it, which suggests investors should see any future capital raising as a positive step and not as a sign of a company in distress.http://www.stockopedia.co.uk/research/funding-for-growth-73426/http://www.stockopedia.co.uk/research/funding-for-growth-73426/Ben HobsonMon, 20 May 2013 10:05:06 +0100While the opinions of brokers often attract legitimate scepticism among investors, there’s little doubt that anyone keeping an eye on our analyst upgrade screen recently would have been impressed. Of all the investing strategies we track here at Stockopedia, the Earnings Upgrade Momentum screen has wiped the floor with most of the others and, unlike some of the other best-performing screens, it comes with decent levels of diversification to boot. Over six months it has returned a startling 55.6% against a healthy gain of 17.8% in the FTSE 100, which ties in with the performance of a similar AAII screen which has trounced the index for over a decade. So what’s causing these impressive screen returns?    Who cares what brokers say? A glance over the decades of research into the impact that broker research can have on stock prices reveals that investors need to tread carefully, particularly if you are thinking of trading on ‘buy’ and ‘sell’ recommendations. Despite the way you see broker recommendations bandied around by bulls on bulletin boards, the research shows that the price impact of new ‘buys’ and ‘sells’ is sudden and short-lived – and because of the bias inherent...http://www.stockopedia.co.uk/content/5-stocks-on-the-move-after-broker-upgrades-73406/http://www.stockopedia.co.uk/content/5-stocks-on-the-move-after-broker-upgrades-73406/Edison Investment ResearchMon, 20 May 2013 09:55:53 +0100OTCM#8217;s (OTCQX: OTCM) Q113 results showed diversification benefits. Total revenue grew 1% on Q112, with a rise in market data licensing and issuer services offsetting a fall in trading service revenue. A continued limited market demand for resource companies has seen slower than usual OTCQX customer acquisition and led us to cut our estimates. Investors are likely to appreciate the above-forecast dividend increase.http://www.stockopedia.co.uk/research/steady-as-she-goes-73425/http://www.stockopedia.co.uk/research/steady-as-she-goes-73425/Edison Investment ResearchMon, 20 May 2013 09:02:32 +0100The FDA#8217;s approval of Xofigo for metastatic prostate cancer will trigger a #8364;50m milestone to Algeta from partner Bayer in Q213. The broad label, early approval and premium pricing could result in upgrades to 2013 consensus sales forecasts. Despite this, we anticipate a measured commercial launch initially targeting US sites involved in the early access programme (EAP). Algeta#8217;s EV is now NOK8.9bn following US approval, with potential to rise further following a positive EU regulatory opinion.http://www.stockopedia.co.uk/research/fda-go-for-xofigo-73423/http://www.stockopedia.co.uk/research/fda-go-for-xofigo-73423/Edison Investment ResearchMon, 20 May 2013 08:47:34 +0100e-Therapeutics has provided a comprehensive update of its development pipeline. ETS2101, for various solid tumours, is the major focus and is progressing through Phase I trials with encouraging early results. A proof-of concept study for the antidepressant ETS6103 is due to start shortly, with results expected in H214. The first new drug candidate to emerge from the newly bolstered discovery platform is expected by end-2013. http://www.stockopedia.co.uk/research/progress-in-development-and-discovery-73422/http://www.stockopedia.co.uk/research/progress-in-development-and-discovery-73422/johnrosierMon, 20 May 2013 07:58:03 +0100Dolphin Capital Investors (LON:DCI) (36p and 2.0% of JIC portfolio) I have this morning invested 2.0% of the JIC portfolio in Dolphin Capital Investors. The Company invests in the residential resort sector and has a coastal land portfolio located in the Eastern Mediterranean, the Caribbean and Latin America. It has fourteen major projects of which five are under construction, selling lots and residences. The current development plan includes 22 hotels, 8 gold courses, 5 marinas and over 10,000 residential units. Amanzoe , the first green field resort completed by Dolphin in August 2012 has already been recognised as probably the best resort in the Med. I bought the holding following a meeting with the founding partner, Pierre Charalambides and Managing Partner, Miltos Kambourides yesterday. I first met them in 2005 when Dolphin was listed on the AIM market raising £70.7m at 64p per share. In its early days the shares performed well as the Company built up a land bank for future development. Along came the banking crises and the economic troubles in Greece and the shares which had peaked at 180p in June 2007 dropped back to the mid teens by 2012. In...http://www.stockopedia.co.uk/content/dolphin-capital-investors-200513-update-sale-of-venus-rock-golf-resort-will-60-share-price-discount-to-nav-narrow-this-year-70530/http://www.stockopedia.co.uk/content/dolphin-capital-investors-200513-update-sale-of-venus-rock-golf-resort-will-60-share-price-discount-to-nav-narrow-this-year-70530/Edison Investment ResearchMon, 20 May 2013 07:40:29 +0100Chatham Rock Phosphate (CRP) continues to make significant de-risking strides with its New Zealand seafloor rock phosphate mining project. In particular, the environmental consenting process and timeline facing CRP are now much more certain. With front-end engineering making good progress, technical risk is also falling. The steps taken by CRP to add organisational mass are also positive. On an unrisked basis, we value CRP at NZ$2.00/share. As it continues to achieve milestones over the balance of 2013 and into 2014, we expect the valuation gap to continue to narrow.http://www.stockopedia.co.uk/research/pole-position-73420/http://www.stockopedia.co.uk/research/pole-position-73420/Edison Investment ResearchMon, 20 May 2013 07:22:03 +0100Avalon intends to capitalise on its early mover advantage and develop its heavy rare earth element (HREE) enriched Nechalacho deposit in the Northwest Territories, Canada. It has made significant moves to create strong relationships with future off-take partners, helped in part by strict adherence to its Corporate Sustainability Report, a key differentiator. With demand continuing to outstrip supply globally for valuable heavy rare earths, Avalon#8217;s HREE enriched project is an attractive opportunity to enter the REE space with lower technical risk than many of its peers. We value Avalon on the basis of its April 2013 feasibility study (FS), which results in a value of C$5.44/share (at a 10% discount rate, fully diluted, with a 30% equity sell down for funding). To this should be added C$0.15/share for the value of its current cash balance of C$16m for a total valuation of C$5.59 per share.http://www.stockopedia.co.uk/research/largest-ex-china-hree-project-73419/http://www.stockopedia.co.uk/research/largest-ex-china-hree-project-73419/Edison Investment ResearchFri, 17 May 2013 14:17:26 +0100Impax returned to positive net AUM flows in H113 (£100m) for the first time since H111, due to improving investor sentiment and strong fund performance. Outflows from higher-margin products led to an 18% reduction in operating earnings and a 5% reduction in diluted adj. EPS to 1.38p (2011: 1.45p). The long-term drivers of growth in Impax#8217;s target markets remain robust as governments increasingly focus on addressing environmental concerns through new policies and increasing investment in infrastructure. Impax currently trades on a FY13e P/E of 12.2x, which compares favourably to its larger UK-listed peers (average: 17.7x).http://www.stockopedia.co.uk/research/return-to-positive-flows-73383/http://www.stockopedia.co.uk/research/return-to-positive-flows-73383/Paul ScottFri, 17 May 2013 13:23:48 +0100Pre 8 a.m. comments Good morning! Hardly any results today, but lots of IMSs again. A former favourite of mine, which seems to have badly lost its way in recent months is Snoozebox Holdings (LON:ZZZ). I held back on buying the dip, after the recent profits warning, because it seemed to me the company's fundamental business model was seriously under question. So I'm not at all surprised to read their update this morning indicating that the company requires additional capital. I never buy into companies which look like they might need more cash, as the share price can go a lot lower if demand for new shares is low, so existing shareholders can find themselves nursing losses, whilst a lucky few who participate in the Placing can dive in and more-or-less name their price for new shares (often at a big discount to the prevailing share price). I'd rather be taking part in the Placing, than be an existing holder hoping for the best! So I'll remain on the sidelines with Snoozebox, and will re-assess it once additional funding has been secured. There are plenty of pebbles on the beach, so it's always good...http://www.stockopedia.co.uk/content/small-cap-report-17-may-zzz-sprp-kenz-ocdo-hnt-puri-trb-pvcs-capd-73359/http://www.stockopedia.co.uk/content/small-cap-report-17-may-zzz-sprp-kenz-ocdo-hnt-puri-trb-pvcs-capd-73359/Edison Investment ResearchFri, 17 May 2013 13:05:06 +0100Uncertainty over the timing and outcome of a BARDA development contract award to support Cleveland#8217;s radiation countermeasure candidate Entolimod has dragged on the stock, which is down 15% over the last 30 days. While the lack of a definitive answer is cause for some anxiety, we remain hopeful that the ~$50m development contract will be secured. A recent FDA advisory committee review confirmed the need for multiple medical countermeasure options in the event of a major radiological http://www.stockopedia.co.uk/research/keeping-the-faith-in-barda-73381/http://www.stockopedia.co.uk/research/keeping-the-faith-in-barda-73381/Edison Investment ResearchFri, 17 May 2013 13:02:43 +0100A Phase II investigator-initiated trial (IIT) of Medigene#8217;s EndoTAG-1 has shown encouraging levels of tumour response in patients with HER2-ve, non-metastatic breast cancer. Best results were observed in patients with triple-negative breast cancer (TNBC), providing confirmation of positive efficacy trends in a previous Phase II study of EndoTAG-1 in metastatic TNBC, and supporting Medigene#8217;s plans to conduct a pivotal Phase III trial in TNBC. The pivotal study is dependent on securing further partners, so the IIT may be supportive of any ongoing licensing discussions.http://www.stockopedia.co.uk/research/supportive-endotag-1-data-at-asco-73382/http://www.stockopedia.co.uk/research/supportive-endotag-1-data-at-asco-73382/Edison Investment ResearchFri, 17 May 2013 12:28:42 +0100Management has taken decisive action to confront market challenges and has developed a clear strategy that will provide a platform for longer-term growth. By fixing Solid Waste, focusing the group on its core markets and growing the Hazardous Waste, Organics and UK Municipal businesses, Shanks will seek to become the leading provider of sustainable waste solutions. Our analysis indicates an average valuation of over 101p/share using a combination of four separate approaches. The current market uncertainty provides an opportunity for those prepared to adopt a longer-term view.http://www.stockopedia.co.uk/research/building-a-platform-for-growth-73379/http://www.stockopedia.co.uk/research/building-a-platform-for-growth-73379/Edison Investment ResearchFri, 17 May 2013 10:13:12 +0100Lookers#8217; performance over the first quarter of 2013 reflects the continued recovery in the UK car market and underlines the strength of the share price since July last year. UK consumer confidence remains fragile, but the positive attitude of the OEMs and the group#8217;s unique position in the aftermarket emphasises Lookers#8217; strong defensive qualities.http://www.stockopedia.co.uk/research/ahead-of-budget-73377/http://www.stockopedia.co.uk/research/ahead-of-budget-73377/Edison Investment ResearchFri, 17 May 2013 09:50:58 +0100Allergy Therapeutics#8217; investment case hinges on its effort to secure a US partner for Pollinex Quattro (PQ). The company is six months into a licensing campaign, the outcome of which may become apparent later this year. The US allergy immunotherapy (AIT) market is potentially large, but undeveloped. PQ, an ultra-short-course subcutaneous injection, will potentially enter this market after two oral products, Grazax (Alk-Abello/ Merck Co) and Oralair (Stallergenes), both of which are in regulatory review. Allergy needs to secure a partner to commercialise PQ in the US. We have not included the US PQ opportunity in our valuation. Thus, a successful licensing deal would transform Allergy#8217;s prospects and substantially increase our valuation.http://www.stockopedia.co.uk/research/focus-on-the-us-market-opportunity-73375/http://www.stockopedia.co.uk/research/focus-on-the-us-market-opportunity-73375/ishareinfotvFri, 17 May 2013 09:42:02 +0100This is a guest blog post by Ishareinfotv. Communication, Communication... That's the AIM! Much is written and commented on by Private Investors and industry journalists about what is the right balance of communication for small caps. Some believe that fundamentals will pull through and that companies should be left alone to deliver results. But while LSE-AIM do not insist upon companies having a PR firm as they do with a Broker and Nominated Adviser (NOMAD), they do recommend engaging a PR firm. Make sense? Not really! Why do companies list? Invariably this is done to raise capital so that a business may instigate or build upon its operational activities and deliver on its plan. Private Investors are frequently the source of capital for AIM companies at this first stage being an Initial Public Offering (IPO). Communication reflects this need and will often continue which means an enthusiastic investor, word of mouth and hopefully a rising share price. This then enables companies, along with operational success, to access other credit lines to further develop their business that previously might not have been available to them. This begins to change the reliance of companies on the Private Investor. Remember, from day one, the Private Investor is fundamental,...http://www.stockopedia.co.uk/content/investor-relations-in-the-age-of-social-media-communication-pr-private-investors-63725/http://www.stockopedia.co.uk/content/investor-relations-in-the-age-of-social-media-communication-pr-private-investors-63725/Edison Investment ResearchFri, 17 May 2013 09:19:30 +0100Operational gearing effects are increasingly evident at Blinkx, with FY13 operating margins expanding to 8% (2011: 1%) and strong cash conversion. With significant unexploited inventory and a growing online video audience, the growth story remains compelling. We consider its premium rating to peers as justified.http://www.stockopedia.co.uk/research/opportunities-remain-73372/http://www.stockopedia.co.uk/research/opportunities-remain-73372/