Sunday share tips: Aviva, IAG, Sainsbury´s

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Sharecast News | 28 Dec, 2014

Updated : 18:05

The Telegraph's reporters have made their share tips for 2015:

James Quinn picked Aviva, saying if the insurer's proposed takeover of Friends Life is confirmed then Aviva's balance sheet will be strengthened.

Ben Marlow opted for IAG. He said British Airways' parent could benefit from the falling oil price, a mooted takeover of Aer Lingus and the delayed benefits of BA's merger with Iberia to form IAG.

Graham Ruddick tipped Sainsbury's, saying the supermarket chain's shares are now cheap after losing a third of their value last year. The group has the most experienced management team in the sector.

Royal Dutch Shell was the favoured stock of Andrew Critchlow because it stands out in the embattled oil sector. Its gas reserves give it a cushion against falling oil prices and is the best bet for energy industry investors.

Christopher Williams favoured Avanti, the satellite broadband provider. Paul Walsh, the former Diageo boss, should bring discipline to the group, hedge funds have been cutting short positions and it has growth prospects in Africa.

Questor editor John Ficenec picked Avon Rubber, the gas mask maker that supplies the US military. The shares gained more than 28% last year but they are good value given rising profits and lack of debt.

Barclays was the share for James Titcomb. The bank's assets are undervalued, it is less dependent on trading than before and is less exposed to the housing market and Asia than its rivals.

Buy shares of Tullow Oil, Ben Martin advised. The oil explorer has started to adapt to the lower oil price and could be bought by a bigger rival looking for a larger share of the African market.

Marion Dakers opted for Just Retirement, which has been hit by George Osborne's pension reforms. The annuities provider could fare better than initially thought under the new regime and its data and IT could tempt a suitor.

The Mail on Sunday's Midas column reviewed its top five recommendations for 2014:

Clinigen was the best performer, rising 34% since it was tipped in August. The drugs company is unlikely to grow at the same pace so shareholders might want to sell half their holdings.

Conygar Investment, Real Estate Investors and Workspace are all real estate companies. Conygar is up 12% since May, Workspace rose 13% since November and Real Estate is up 12% since July. All three should provide rewards to investors next year.

Clipper Logistics is growing fast and its shares have considerable potential after rising 14% since August.

Questor in the Sunday Telegraph took stock of the column's tips for last year:

Royal Dutch Shell rose 5.4% and its B shares are ones to hold on to.

Bellway rose 26% and remains a hold despite cooling house prices.

GlaxoSmithKline was Questor's income pick. The shares fell 14% last year and now trade on a prospective dividend of 5.8%.

Including a final dividend, investors in Hyder Consulting are 19% up after it agreed to be bought.

CSR, the microchip maker, is up 42% after it was bought by Qualcomm.

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