Sunday tips round-up: Antofagasta, Debenhams, Shanks

13th Dec 2009 11:20

Antofagasta's balance sheet remains strong, with cash balances of $2.95bn (£1.8bn) as of September 30 this year. The group's production growth is highlighted in its prospective earnings multiples. The shares are trading on a December 2009 earnings multiple of 22.5, but this falls to 13.3 in 2010 and just nine in 2011. The yield, at 1.6pc is not much to get inspired about, but the group's large cash balance has raised the possibility of a special dividend in the coming years. Shares in Antofagasta are a buy, says the Sunday Telegraph.Debenhams has been through the wringer over the past year, but it is on a robust footing now and should make more advances over the next couple of years. Chief executive Templeman is ambitious and wants to take store numbers from about 160 to as high as 230. Further expansion overseas may also be on the cards. Early 2010 will almost certainly be tough for retailers as fears of unemployment and higher taxes weigh on consumers' minds, but Debenhams is gaining market share and making progress even through hard times. When conditions ease, it should benefit further. At 83p, the stock is a buy, says the Daily Telegraph.Cautious investors may wish to take profits while the going is good. Some City brokers believe an auction may develop for Shanks, in which case the price would almost certainly rise beyond 150p. And even if the company remains independent, prospects are sound. Hold on to at least 50 per cent of your shares, says the Daily Mail.Centamin Egypt is a great company and it is executing well. The pull-back in the gold price has brought the price of Centamin shares back from recent highs and, with resource estimates set to increase in the coming months, the Telegraph's Quetsor upgrades the stance on the shares to buy from hold. The shares were first recommended on January 5 as one of Questor's tips of the year at 42½p and they are now 180pc ahead of their initial recommendation price compared with a market up 16pc.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.