Secondary Recommendation

Elementis - 13% profit upgrade

June 2011

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Elementis has announced that Q1 is “significantly ahead” of last year. Both divisions have performed well with specialty products' operating margin significantly ahead of H2 2010. Within its chromium division, top-line growth has come from upgrading product mix, while further profit improvement should come from Q2 with the commissioning of its natural gas facility. Broker Collins Stewart has upgraded this year's forecasts for net profit by 13% with new eps expected to be 11.2p, rising to 12.2p next year. Given its ability to rapidly pay down net debt as well as the expectation of further eps upgrades, the prospective PE of 14 is low. Keep buying. ...

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Elementis (April 2014)

Elementis (December 2013)

Elementis (October 2013)

Elementis - Specialty chemicals firm enjoys high margins and returns on capital (May 2013)

Elementis - Expands capacity in buoyant US (November 2012)

Elementis - New special dividend (September 2012)

Elementis - Eyes return of cash to shareholders (June 2012)

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Elementis - Euro 23m fine is repealed (August 2011)

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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Elementis - 13% profit upgrade

June 2011

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