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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Ben Bailey - Highly successful niche housebuilder

October 2003

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.

2003 is likely to be seen as a golden era for housebuilders, with the FTSE Construction and Building Materials sector showing a 43% gain since the start of the year.  Back in July we recommended Barratt,508p one of the largest and most successful housebuilders, whose shareshave since gained a useful 19%.  However, for those looking for greater excitement in the small company arena, Yorkshire-based, Ben Bailey (market cap: £38.9m) is an excellent candidate. Ben Bailey has already put in a whitehot performance, with the shares more than quadrupling in the last 18 months.  Yet its earnings growth has rattled along at such a rate that its prospective PE is just 4.6. BenBailey is a regional residential housebuild ...

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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.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X