Sunday share tips: Dunelm, Essentra, Eros International

28th Sep 2014 17:28

It's a good time to buy shares in Dunelm, Danny Fortson argued in the Sunday Times's Inside the City column. Just over a third of its customers are retired and almost half have paid off their mortgages so they have time and money. Will Adderley of the founding family has taken over as Chief Executive and his options include expanding in the south east of England, opening overseas and making acquisitions. The shares trade at 15 times next year's earnings - more than Home Retail Group but less than Poundland. "Now looks like a good time to jump in," Fortson said.Essentra's shares have more than doubled since the cigarette filter maker joined the stock market in 2011, Midas said in the Mail on Sunday. Sales of filters are rising rapidly after Essentra expanded into Asia. Its other businesses, including plastic protectors for oil and gas pipes, are also doing well. Chief Executive Colin Day has got the company moving and expects to increase revenues by 6% to 7% annually over the next few years. Buy the shares ahead of Essentra's October 13th trading statement and its investor day in November.Buy retail bonds issued by Eros International, India's biggest film company, Midas recommended in the Mail on Sunday. Its shares were listed on AIM but the group has transferred its listing to New York. Investors who stuck with the shares when they listed in New York have done well and should stick with the stock if they are happy holding US shares. Those who are not could sell now. Eros's £100m bond issue in the UK pays a coupon of 6.5% and the bonds' price should rise as interest in Bollywood extends beyond India.Please note: Digital Look provides a round-up of news, tips and information that is impacting share prices and the market. Digital Look cannot take any responsibility for information provided by third parties. This is for your general information only as not intended to be relied upon by users in making an investment decision or any other decision. Please obtain a copy of the relevant publication and carry out your own research before considering acting on any of this information.SF