Old UK Stocks Shares Investment Tips complied by Money sorter at 20 4 2007

UK Stocks and Shares and Investment tips

Top of the Tips: Share Recommendations to week ending 20/4/2007

Ones To Buy

Clean Energy Brazil

Clean Energy are one of Brazil's leading ethanol producers, and have recently been investing considerable sums in buying stakes in their suppliers, providing the company with a substantial advantage over some of their competitors. One for the future, reckons Midas in the Mail on Sunday – buy.

Aveva

Makers of highly-specialist industrial software, Aveva have now graduated to the FTSE 250. The complexity and specialist nature of their software makes it hard for competitors to enter the market, and after quadrupling in value in the last two years, Aveva's shares are currently pausing for breath.

Despite their valuation of 24 times 2007 earnings, The Times believes Aveva's shares will continue to rise. Buy.

AGI Therapeutics

Dublin-based AGI Therapeutics employs just eight people – preferring to outsource much of its work in an effort to streamline costs. Its business model is built around finding new uses for established drugs, and it has recently confirmed that its new Irritable Bowel Syndrome drug is almost ready to go on sale.

AGI managed to shrink its losses last year and has enough cash for another two years – one to buy, according to The Telegraph.

Hot Tuna

The fortunes of surf clothing manufacturer Hot Tuna have been stuck in the doldrums since last summer, but a couple of large new contracts look to have given Hot Tuna fresh momentum, offering the opportunity for some handsome gains in share price.

Now's a good time to by, according to The Independent.

Prezzo

The latest venture from the Kaye family continues to do well, with the impending launch of the 100th restaurant in the Prezzo pizza chain. Pre-tax profits are up from £6.1m to £8.28m, and there seems to be no let-up at present in the growth of the casual dining market. One to buy, says The Telegraph.

Ones To Let Go

Carpetright

The national carpet retailer is battling a downturn in consumer spending that has been going on since January, according to Carpetright's finance director Ian Kenyon. Despite some other revenue streams which are bolstering profits, it looks expensive at 19 times earnings. Sell, says Tempus in The Times.

JJB Sports

Depressed sales, earnings down more than 15 per cent in the year to January and an expensive share price of 21 times forecast earnings for the year make the sports retailer seem a poor buy, despite some improvement in underlying sales and gross margins. Sell, says The Times.

SSL International

Best-known for their condom brand Durex and footwear brand Scholl, rumours suggest that SSL have recently been the target of another takeover bid – this time from US giant Reckitt Benckiser.

This could provide a good opportunity for SSL to reduce their fixed costs, but notwithstanding the potential benefits SSL shares currently look a little expensive, at 25 times earnings. Sell, says The Independent.