The usual approach is to compare firms’ new numbers to those from prior years. But certain revenue figures may have been impacted by the pandemic, so it’s important to get context from pre-pandemic levels too. It can also be useful to consider whether a company can perform better than its previous year’s numbers, or if it can beat analysts’ annual forecasts. Analysts in the UK don’t always publish earnings previews for quarterly or half-year periods, but given their popularity, the shares covered below are exceptions. All of them have financial years that end in December.

Rio Tinto (H1 Earnings)

Rio Tinto (LSE: RIO) is an Anglo-Australian multinational company. It’s the world’s second-largest metals and mining corporation. The FTSE 100 firm’s main export is iron ore. Rio is set to reveal its H1 numbers for its six months performance ending June on 27 July.

Its earnings preview seems to indicate a slowdown in both its top and bottom lines. This is most likely due to the perpetual lockdowns in China that have been limiting construction activity. China is the group’s biggest customer, hence the gloomy forecasts. That being said, a sudden change in health policy in China could see Rio edge closer to its FY21 figures and could spell a healthy jump in its stock.

Barclays (Q2 Trading Update)

Barclays (LSE: BARC) is one of the UK’s biggest banks. It operates in many countries across the globe, and also operates an investment banking division. The bank is expected to disclose its Q2 figures for its three-month performance ending June on 28 July.

Analysts covering Barclays are expecting the bank to improve on its total income marginally this half, on a year-on-year basis. However, its most recent earnings per share estimate has been downgraded from 7.6p in the last week. The increase to its top line is most likely due to the effects of higher interest rates. Nonetheless, a decrease in investment banking activity from the current bear market is going to cause its bottom line to suffer. But if the dual-listed stock surprises investors with better than expected figures, a rally could be a possibility.

NatWest (H1 Earnings)

NatWest (LSE: NWG) is another UK bank reporting results this week. The group operates a wide variety of banking brands, offering personal and business banking, private banking, insurance, and corporate finance. It’s scheduled to unveil its H1 earnings for its six months performance ending June on 29 July.

Just as is the case with its sector peer, analysts are expecting the same trend. Alongside that, investors in its shares and the wider stock market will be paying attention to its remediation figure and number of late-stage loans to determine whether the UK is heading for a recession. The former is essentially the amount of money allocated as a buffer to cover potential defaults from customers.

The post Earnings preview: Rio Tinto, Barclays, NatWest appeared first on The Motley Fool UK.

General Mills

While the S&P 500 flirts with bear market territory, consumer foods company General Mills (NYSE: GIS) continues to hit all-time highs. On a year-to-date (YTD) basis, the stock is up 11%! Not only that, the board recently approved a 6% increase to its quarterly dividend, bringing its total dividend to $0.54 per share. Nevertheless, what makes it such a lucrative stock is its track record of consistent and growing dividends, which has lasted over 120 years!

Aside from its dividend, however, the company continues to post steady and healthy margins (14.3%), despite ongoing inflationary pressures. General Mills’ top line shows no signs of cooling either when taking June’s Consumer Price Index report into account. Although cereal prices are up 2.5% on average, May’s retail sales data indicates that grocery sales are up 1.2% month-on-month (M/M). This aligns with what CEO Jeffrey Harmening mentioned, that General Mills is benefiting from consumers switching to at-home eating.

Rio Tinto

Another Dividend Aristocrat on my list is Rio Tinto (LSE: RIO). Like General Mills, Rio has been paying consistent dividends for the past few decades, even during the last three financial crises. Nonetheless, its share price is down 3% (YTD).

As the second biggest iron ore producer in the world, Rio exports the bulk of its iron to China. Therefore, lockdowns across China have resulted in a 15% decline in its share price over the last month. Consequently, I’m expecting Rio’s dividend to fall in the near term. But if history is any indicator, a post-Covid rebound in China’s economy will most likely boost Rio’s top line and dividend exponentially. I only need to refer to the difference in dividends from 2020 and 2022 (‘Peak-Covid’ vs ‘Post-Covid’) to make my case.

Additionally, the miner boasts excellent profit margins that average above 20%. With a healthy debt-to-equity ratio of 21.7%, and cash ($15.3bn) comfortably covering debt ($12.2bn), the FTSE 100 firm seems well equipped to handle a potential economic slowdown.

Worthy dividend?

Having said all that, these two dividend stocks have good track records. It suggests that they are able to provide some passive income through good and bad times. As a matter of fact, their average dividend yields outperform the S&P 500. But do I think these stocks are worth a buy?

Well, General Mills’ financials put me off investing in its shares. The manufacturer has a staggering amount of debt ($11.6bn) with a minuscule amount of cash ($819m) in its reserves. With interest rates set to continue rising, debt repayments could become more costly, and potentially lower its dividend. Furthermore, its average price target of $73.87 could indicate that the stock is overvalued at this time.

On the other hand, Rio Tinto has strong financials and earnings power. As a result, the current dip is a buying opportunity for me, as I aim to capitalise on an eventual rebound in the Chinese economy. After all, its average price target is £56.43. This presents me with a 24% upside if I were to invest today.

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Going b(A)ck to (B)asi(C)s

Google’s parent company, Alphabet (NASDAQ: GOOGL) is one blue-chip that cannot be ignored. The conglomerate has a track record of beating the S&P 500, and produces stellar returns with a 30.2% return on equity. Alphabet earns the bulk of its revenue from advertising and search.

Its cloud segment is also starting to gain momentum as it races towards profitability. Given the firm’s dominance in these rather monopolistic industries, I believe Alphabet has what it takes to continue growing while holding a defensive position in my portfolio.

The blue-chip boasts an extraordinary balance sheet with close to zero debt and huge sums of cash. Its profit margins are that of a mining company, currently standing at close to 30%. With such an excellent track record and a forward price-to-earnings (P/E) ratio of 22, I’ll definitely be buying more shares. Although this evening’s earnings report could disappoint, I’m confident in Alphabet’s ability to generate long-term returns.

Dune forget Dunelm

One of Britain’s biggest homeware retailers, Dunelm (LSE: DNLM) has been largely overlooked since Covid restrictions were lifted. Many thought that the stock would dip as consumers opt to spend money outside of their homes. However, the blue-chip continues to impress. Its most recent earnings report showed a a 25% increase in its earnings, and total sales were up 10.6% year over year.

Even though recent GDP and retail sales numbers were lacklustre, Dunelm remains strongly positioned. The fine print within the retail sales figures showed that household goods stores saw a 2.6% increase in sales. With Dunelm’s 8.5% increase in active customer growth to go with that, the firm has strong pricing power to battle the inflationary storm. A forward P/E ratio of 13 and a decent dividend yield of 3% makes this stock an intriguing one to look out for, once the next set of retail sales data is released.

A saucy dip for this blue-chip

Rio Tinto (LSE: RIO) is one of the world’s largest iron ore miners. Its share price has taken a tumble due to recent disappointing Q1 production numbers and lockdowns in China. While I do expect the share price to continue dipping, I reckon there may be a buying opportunity sometime in May and beyond.

Mining companies are notorious for, “Using windfalls to dig more materials out of the ground. And the opposite is true when prices hit rock bottom. Production is reigned in and cash is conserved. These are the supply forces that self-regulate commodity cycles”, as FreeTrade analyst Paul Allison states.

Therefore, the blue-chip will eventually have an influx of demand for iron again, driving iron prices back up. This should happen once China eases its Covid restrictions. Buying shares before this occurs could possibly see my portfolio getting a bumper gain. Moreover, a 10% dividend yield could see me earning a little bit of passive income while waiting for iron ore prices to climb.

The post 3 blue-chip shares I’d buy in May appeared first on The Motley Fool UK.

The trouble is, there’s no way of knowing what the lowest price will be. But there’s no need to be too greedy. Buying good companies that are “on sale”, because of some macro worries or business stumble, can be highly rewarding, even if you don’t get the very lowest mark-down in the sale.

Rio Tinto (LSE: RIO), Rolls-Royce (LSE: RR) and Hunting (LSE: HTG) are currently on sale, and have spectacular recovery potential for patient, long-term investors.

Rio Tinto

Mining giant Rio Tinto hasn’t done a lot wrong under chief executive Sam Walsh, who took the reins in 2013. But the industry is cyclical, and the company’s revenue has fallen due to prevailing low metals prices. The shares have been whacked, too. The price reached a post-financial-crisis high of over £46 in 2011; today, you can buy at under £24.

Rio is one of the world’s lowest-cost iron ore producers. By ramping up volumes — as it has been doing — it can partially offset weak prices. Higher-cost producers can’t compete and in time supply will be taken out of the market and prices will rise again.

Rio offers a compensatory 5.9% prospective dividend yield to investors today, who are willing to wait for the cyclical upturn. In fact, earnings declines are expected to bottom out this year, with analysts forecasting low double-digit growth for 2016, putting Rio on a forward P/E of 14 and giving the shares substantial potential upside for the longer term.

Hunting

Turning to another natural resources industry, shareholders of oil companies haven’t had much to sing about over the last year, with the dramatic decline in the price of black gold. The share performance of supermajors, such as Shell and BP, has been disappointing enough, but can’t compare with the wholesale cratering of share prices seen at companies in the oil equipment and services industry.

Hunting has been one of the hardest hit, mainly because most of its peers have some diversification in other industries. Hunting’s shares were trading not far off £9 last summer, but are changing hands for less than £5, as I write.

Earlier this month Hunting reported a 76% decrease in profit from operations in the first five months of the year, and analysts see little improvement through to the end of the year. However, forecasts are brighter for 2016 to the extent that Hunting trades on a price-to-earnings growth (PEG) ratio of just 0.3. With a PEG of 1 indicating fair value, Hunting’s rating implies considerable upside potential for the shares from their current level.

Rolls-Royce

One of Britain’s premier, world-renowned businesses, Rolls-Royce has been in the wars of late. It wasn’t so long ago that investors couldn’t get enough of the aerospace firm’s shares, pushing the price up to over £12. As I’m writing, the shares are trading at a new multi-year low of under £7.40.

Earlier this month, Rolls-Royce issued a third profit warning in just over a year. The company blamed lower oil prices (its marine division does much business with the offshore oil industry) and order issues relating to the transition from Trent 700 jet engines to the new Trent 7000.

Rolls-Royce is a quality business, and, as the company says, there are drivers for “significant revenue growth over the next ten years”. There’s an old stock market adage that profit warnings come in threes and, with Rolls-Royce having put three behind it, now could be the perfect time for patient, long-term investors to catch this “falling knife”.

The post 3 Spectacular Recovery Prospects: Rio Tinto plc, Rolls-Royce Holding PLC And Hunting plc appeared first on The Motley Fool UK.

With the stock down 33% in the last 12 months, I haven’t regretted my decision. China has slowed, and demand for copper, iron and other metals has fallen accordingly, forcing down prices. 

I got that right but one thing I didn’t anticipate was the fall in the oil price: many investors forget that BHP Billiton also positions itself as “a global leader in oil and gas exploration, production, development and marketing”.

So it took a double hit.

In A Hole

At the same time, I removed mining rival Rio Tinto (LSE: RIO) (NYSE: RIO.US) from my wish list — and again, I have no regrets. Its share price is down 21% in the last 12 months, again, largely due to macro problems such as falling global (Chinese) demand.

In both cases, I had mixed feelings about a decision both companies had taken to ramp up supply in the teeth of falling demand. The aim was to drive out smaller, high-cost competitors with tighter margins, in the hope of ruling the roost once the cycle turned again.

Plus, of course, more production = more sales = more revenues. This has partially offset some of the headwinds of lower prices, as have cost control measures. BHP Billiton has since pulled back on that policy in the teeth of the global iron ore glut, however, confirming my initial misgivings. 

Potash-tic?

I don’t expect the commodity cycle to swing back in favour of the big mining giants in the immediate future, even though China has survived its recent stock market scare, and its latest GDP growth figures surprised on the upside at 7% a year.

Yet I still think BLT and RIO are starting to look like a tempting contrarian buy for long-term investors, trading at just 7.66 and 8.02 times earnings respectively. Income-hungry investors will also be tempted, because these traditional growth stocks now yield an astonishing 5.91% and 5.21% a year, more than 10 times base rate.

Many investors question whether these dividends are sustainable given today’s commodity prices, despite management assurances. If the dividends are cut, the company share prices will also take a hit, which is my biggest concern.

I may be tempted to buy BHP Billiton and Rio Tinto again, but I’m not quite convinced.

The post Why I’m Finally Tempted To Buy BHP Billiton plc & Rio Tinto plc Again appeared first on The Motley Fool UK.

For example, take  Rio Tinto (LSE: RIO) (NYSE: RIO.US). It is enduring one of the most difficult periods in its recent past, with the price of iron ore collapsing to a multi-year low. And, while Rio Tinto has other operations, its dependence on iron ore for over 90% of its profit has been evident in terms of the impact of the commodity’s price fall on its bottom line, with Rio Tinto set to deliver a 52% decline in its net profit in the current year. As a result, its share price has fallen by 21% in the last year alone, thereby making many investors wary of investing in the Australian miner.

However, Rio Tinto offers excellent long term investment potential. For starters, it trades on a very low valuation, with a price to book (P/B) ratio of just 1.3. This indicates that there is significant scope for an upward re-rating of Rio Tinto’s shares, since a price to book ratio that is so low appears difficult to justify while the company remains well-financed and with such low cost curves. Furthermore, profit growth is set to return next year, with the mining giant forecast to post bottom-line growth of 13%, which could catalyse investor sentiment and push its shares higher.

Equally, BAE (LSE: BA) (NASDAQOTH: BAESY.US) may appear to be a rather risky investment at the present time, with defence cuts being a reality for much of the developed world. However, with an improving global economy, BAE’s income prospects appear to be much more stable than they were a year ago.

For example, BAE currently yields a very impressive 4.3% and, with earnings set to rise by 6% next year, it means that there is significant scope to move shareholder payouts upwards at a faster rate than inflation over the medium term. And, with dividends being covered 1.8 times by profit, BAE appears to be a relatively stable income play which could see its share price rise due to continuing high demand for higher yielding stocks over the medium term.

Meanwhile, convenience food producer, Greencore (LSE: GNC), continues to be one of the more reliable stocks in which to invest. Unlike Rio Tinto and BAE, it has an excellent recent track record of growth, with its bottom line having risen at an annualised rate of 16% during the last five years. And, looking ahead, it is expected to post growth of 14% in the current year, followed by 13% next year.

Despite such a strong growth profile, Greencore trades on a price to earnings growth (PEG) ratio of just 1.1 and this indicates that its shares could move significantly higher over the medium term. And, with a yield of 2% from a payout ratio of only 35%, Greencore could become a top notch income choice over the medium term, too.

The post 3 Stocks Set To Beat Their Rivals: Rio Tinto plc, BAE Systems plc And Greencore Group plc appeared first on The Motley Fool UK.

Although large in terms of their market capitalisations, neither firm produces much added value to their product offerings. Go to HSBC for a bank account or a loan and we might as well go to any banking company; buy a ton of iron ore or copper from Rio Tinto and we could buy it from any producer (ignoring geographical limitations).

Cyclically challenged

These gargantuan firms might feel safe because of their size, but a peek at the longer-term share price charts in each case tells a story of disappointed long-term investors.

Perhaps now, with the shares down, both HSBC Holdings and Rio Tinto look attractive as cyclical bets on the next up-leg. Maybe. But I think there are better cyclical options on the stock market if we just look down the rankings to smaller market capitalisations.

Rather than going for these out-and-out cyclical monoliths with undifferentiated products, maybe it’s better to look for a firm that adds more value to the final product it produces. That’s why I’m looking closely at performance materials manufacturer Low & Bonar (LSE: LWB).

A niche operator

It’s true that Low & Bonar’s business has a large element of cyclicality, too. However, I think the firm’s strong position in a number of niche markets gives the company some insulation from the immediate effects of macro-economic cyclicality. There’s also scope for Low & Bonar to grow if its innovations and project solutions ‘click’ with customers.

The firm makes things such as carpet backing, side curtains for lorry trailers, tensioned architectural products, marquees, tarpaulins, artificial grass and soil reinforcement solutions such as grid matting and the like — but that’s not an exhaustive list.

Often Low & Bonar designs bespoke solutions for big projects and, it seems to me, keeps developing new products and innovations within its focus of operating as a performance materials firm.  

On track

This month’s half-year report showed a 0.9% uplift in revenue on a constant currency basis and the directors reckon Low & Bonar is on track to hit market expectations for the full year — City analysts following the company expect the firm to grow earnings 4% this year and a further 11% during 2016.

With an operating margin running at about 6.8% and the return on capital employed registering 11.8%, Low & Bonar rises above many other ‘me too’ operations that score lower ratings on those metrics. That suggests strength in the firm’s niche market positioning.

Low & Bonar’s financial record seems steady; perhaps the company can repeat the trick going forward:

A 69% dividend increase over four years is respectable. Meanwhile, rising revenue offers the promise of more to come.

If that dividend is to keep growing, Low & Bonar’s business has to keep expanding, too, and on that point, the firm’s record looks encouraging. With potentially benign macro-economic conditions ahead, we could see continuation of the progressive dividend policy.

Valuation now

At a share price of 69p (market cap. £225 million) FTSE Small-Cap constituent Low & Bonar trades on a forward dividend yield around 4.2%, and forecasters expect 2016 earnings to cover the payout more than twice.

Meanwhile, the forward price-to-earnings ratio sits at 11, which seems undemanding when taken with that dividend payment and the earnings growth analysts expect.

Low & Bonar’s shares remain down a bit from the levels achieved during 2014, but the weakness is nothing compared to the share-price destruction we’ve witnessed at HSBC Holdings and Rio Tinto, and could be something of a buying opportunity.

The post Why Low & Bonar plc Could Thrash Returns From HSBC Holdings plc And Rio Tinto plc appeared first on The Motley Fool UK.

Safestyle: Cheap Enough

Safestyle is a UK-focused retailer and manufacturer of PVC windows and doors for the homeowner replacement market. It has a market cap of about £180m, which has risen by more than 3% today in the wake of an upbeat trading update for the six months ended 30 June 2015.

Its shares are up almost 40% this year, and currently trade at 235p — they hit a record high of 238.75p in early trade today. In spite of a rising valuation, its stock trades on lowly 13x, 12x and 11x net earnings multiples for 2015, 2016 and 2016, respectively.

Its balance sheet is solid, with a net cash position, and management has proved it can deliver growth and income from dividends, while maintaining financial discipline — all of which points to value. Finally, consider that its forward yield stands between 4.2% and 5%. 

Experian: Cautious Optimism

Its shares currently trade at 1,210p, having risen about 10% so far this year and 17% over the last 12 months.

I like Experian’s business model and I think this is an equity investment that should belong to a diversified portfolio, but its relative valuation — at 22x forward earnings — also suggests that taking a cautious approach could pay off if you are chasing value. 

Its growth forecasts are in line with expectations, although currency trends may be less supportive, its first-quarter results showed today. The group is likely to deliver rising earnings and dividends on the back of steady margins that will likely boost its rich free cash flow yield over time.

Net leverage, meanwhile, is around 2x and looks manageable. 

Its equity valuation is not far away from its record highs, and could receive a fillip if management decided to return cash to shareholders, which is a distinct possibility. 

Rio Tinto: One To Watch 

Rio released today its second-quarter production results, which essentially did not move the needle. 

Chief executive Sam Walsh said: “We have maintained our emphasis on efficiency and protecting returns.” I see little evidence of that but it appears clear that, at around 12x forward earnings, Rio Tinto is one name to keep on the radar. 

What also caught my attention today in the mining world was the announcement that Anglo American had decided to write down up to $4bn of assets, which is a good sign for Anglo, Rio and their competitors as miners have no choice but to clean up their balance sheets in this environment. 

Is that a case of short-term pain for long-term gains? 

Historically, hefty write-downs tend to signal the bottom for equity valuations in cyclical sectors; as far as Rio is concerned, we may not be there yet, although decent news for China’s GDP growth earlier this week were encouraging…

The post Do Safestyle UK PLC, Experian plc & Rio Tinto plc Trade In “Bargain Territory”? appeared first on The Motley Fool UK.

The Beginners’ Portfolio is a virtual portfolio, run as if based on real money with all costs, spreads and dividends accounted for. Transactions made for the portfolio are for educational purposes only and do not constitute advice to buy or sell.

I looked at some of the sun that has shone on the Beginners’ Portfolio a couple of weeks ago, checking out how well Barclays, Persimmon and Apple have done for us in the past 12 months. But into any portfolio a little rain will fall, so today I’m looking at a few poorer performers and pondering what went wrong:

No mining turnaround

I’ve been convinced for some time that a turnaround in the cyclical mining sector has been coming. But it hasn’t happened yet, and Rio Tinto (LSE: RIO)(NYSE: RIO.US) shares are down 22% in the past 12 months, to 2,563p. We have had 135p per share in dividends, which would give us a 4.3% yield on the 3,133p price at which Rio was added to the portfolio. And overall, we’d be down 13% overall on Rio since purchase if we sold today. The company seems to think its shares are cheap and has been buying them back, but it hasn’t halted the slide.

What’s perhaps ironic is that production volumes remain high, but global commodities prices remain low as uncertainties surrounding China continue — the price of iron ore has blipped up a little in the past couple of months, but it’s still selling for only around a third the price it fetched back in February 2011. With the Chinese stock market also in a slump (and still overpriced in my view), we could have more pain ahead before Rio turns round.

Oil slump

The oil price slump has hit BP (LSE: BP)(NYSE: BP.US), coming right after the Gulf of Mexico disaster, and BP’s shares have fallen 15% in a year to today’s 429p. Our overall loss on the share price is modest at 5.7%, but once we include dividends we’re up 10% — not great over the timescale, but actually not too bad. A mistake I made was underestimating the costs of the oil spill, and I reckoned the bad news was over far too soon.

BP has said it expects the era of cheap oil to continue for at least two to three years, and with a renewed fall back to $52 levels it could well be right. But how does it look as an investment? Well, with dividend yields of around 6% forecast, I reckon it’s not unattractive — the cash wouldn’t be well covered by earnings over the next couple of years, but BP has the means to keep it going in the meantime.

Pharma woes

The picture at GlaxoSmithKline (LSE: GSK) is similar — we’re down on the shares after a 12-month fall of 12% to 1,386p, but with dividends we manage a 7.7% gain. The thing with Glaxo is I don’t think anything has fundamentally gone wrong. The firm is still in its turnaround phase as it recovers from the patent cliff that hit the sector (protection on some key drugs expired), and we’re not expecting a return to growth before next year. But a P/E of around 16 at the bottom of the earnings cycle doesn’t look expensive to me, and although the dividend is likely to be cut a little, analysts are still predicting a yield of around 6% — which, again, the company should be able to sustain.

The portfolio overall? Up 43% since first purchase in May 2012, including dividends and all costs and spreads — with the FTSE 100 up 27% excluding costs, spreads and dividends.

The post Beginners’ Portfolio: A Bad Year For Rio Tinto plc, BP plc And GlaxoSmithKline plc appeared first on The Motley Fool UK.

That’s a key reason why I’m bullish on Rio Tinto (LSE: RIO) (NYSE: RIO.US). It has endured a hugely difficult period, with external factors severely affecting its financial performance. In fact, its bottom line is set to fall this year to just 30% of its 2013 level, which provides evidence of just how hard the company’s income statement has been hit by an iron ore price that it at or near to  a ten-year low. And, despite Rio Tinto cutting costs and increasing production, it has a tough outlook for the next six months, too.

However, next year is set to be a lot different than 2014 and 2015. That’s because Rio Tinto is forecast to increase its earnings by 15% and, with its shares trading on a price to earnings (P/E) ratio of 16, there is considerable scope for them to be rerated upwards by the market. Clearly, guidance could change depending on the price of iron ore, but with a price to earnings growth (PEG) ratio of 0.9, Rio Tinto appears to have a sufficiently wide margin of safety to offer a very favourable risk/reward profile.

Similarly, engineering company, Keller (LSE: KLR), is expected to post strong growth numbers moving forward. However, rewind the clock back to 2010/2011 and the company was posting severe declines in its bottom line, with it falling by 44% in both years. However, since then it has seen its earnings treble and, looking ahead, it is forecast to increase its bottom line by almost a third over the next two years.

As with Rio Tinto, Keller trades on a low PEG ratio, with it being just 0.8. And, while its shares have already risen by 23% year-to-date, there remains significant scope for them to continue their rise over the medium term.

Meanwhile, Sports Direct (LSE: SPD), has had a much more stable recent past. Certainly, it became a political ‘hot potato’ for a while during the General Election campaign when the Labour party used it as an example of the apparently unfair nature of so-called zero-hours contracts. And, while sentiment dipped during that period, Sports Direct has been able to deliver double-digit earnings growth in each of the last four years.

Looking ahead, the company is set to continue this level of performance and, while it trades on a PEG ratio of 1.7 (which is modestly high), its reliable growth profile and scope to expand into other areas (such as gyms and also abroad) mean that it seems to be very worthy of its premium price tag. As such, the 12% share price appreciation of the last three months looks set to continue over the medium to long term.

The post Why I’m Bullish On Rio Tinto plc, Sports Direct International Plc And Keller Group plc appeared first on The Motley Fool UK.