Sunday tips round-up: GlaxoSmithKline, Brooks Macdonald, Gulfsands Petroleum

2nd May 2010 11:07

GlaxoSmithKline's first-quarter results showed strategic progress in the group's mission to move away from "white pill/western markets" to emerging economies and consumer products. The results were ahead of market expectations and showed good progress in its strategic plan. Trading on a December 2010 earnings multiple of 10 times, falling to 9.8 next year and yielding 5.2%, the shares are a solid yield play with growth potential. Buy says the Sunday Telegraph.Shares in Aim-listed fund manager Brooks Macdonald have done well over the past 12 months, but there is still plenty of potential in the stock. The company is opening new offices across Britain, it is becoming better known among independent financial advisers and other professional advisers and it intends to acquire other, small fund managers, where appropriate. There is £10m of cash on its balance sheet, the company is good at what it does and it operates in a growth industry. Buy says the Mail on Sunday.Gulfsands has announced that it has received and rejected a reiteration of the original 315p-per-share proposal from Oil India and Indian Oil. The original approach was made in March. Gulfsands' main asset is a 50% interest in the Khurbet East oil field in Syria. Its partner, Emerald Energy, has already been bought by Sinochem. The Sunday Telegraph remains of the view that the board will not countenance any offer that is below 400p a share, including premium. The Takeover Panel has issued a "put up or shut up" notice, with the deadline being 5pm on May 11. The situation will be much clearer in the next two weeks, but the stance remains buy says the newspaper.Shares in North Sea oil and gas company Ithaca Energy have risen five-fold to 193p during the past 12 months. The price has been particularly strong over the past three months, following a succession of upbeat announcements from the company. Investors who bought a year ago would be well advised to sell half of their shares and enjoy the proceeds. However, it is worth retaining some, as the company is clearly on a growth trajectory. New investors should watch the business closely and look to pick up stock on any short-term weakness over the coming months says the Mail on Sunday.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.