Uk Stock Writeups

Of the major pharmaceuticals in the US and Europe, Glaxo has the largest and most diversified drug pipeline in crucial Phase 3 trials or recently approved. Set against this, the schedule of expiries on its current patents is faster than the rest of the sector. Particular strengths lie in Glaxo's portfolio of vaccines, both for cancer and pandemics, and its treatments for respiratory diseases. Despite the vagaries of the US Food and Drug Administration's attitudes and systems of approval, and the threat of generic competition for all the major pharmaceutical companies, the investment case for Glaxo is simple: the market is currently undervaluing the pipeline. Add in earnings growth, a large buy-back programme and a healthy dividend yield, and the potential upside for the investor at this stage is significant.

Sedol	Type	Price	Date
0925288	Buy	£ 11.141	19/06/2008

Group 4 Securicor was formed out of the 2004 merger between the UK 's Securicor and the Dutch Group 4 Falck. The merger has allowed cost savings to be made but the company has also maintained impressive organic growth in its businesses, despite the distractions of the merger. We expect both of these factors to continue, and the company is likely to start making bolt-on acquisitions to supplement earnings growth now that the merger is complete. The balance sheet is strong and the company has committed to lowering its dividend cover which should generate healthy dividend growth going forward. The stock is cheap on a P/Sales basis and offers a solid growth in cash, earnings and dividends as it operates in a defensive, non-cyclical industry.

Sedol	Type	Price	Date
B01FLG6	Buy	£ 1.769	26/10/2006
B01FLG6	Buy	£ 1.727	11/10/2006
B01FLG6	Buy	£ 1.593	15/06/2006
B01FLG6	Buy	£ 1.733	18/05/2006
B01FLG6	Buy	£ 1.837	16/05/2006