Good morning! A quiet day for news today, so this report will be a bit shorter than usual. It looks like we should have a fairly strong open, with the FTSE 100 Futures showing an open up 35 to 6,707. As I've mentioned before, smaller to mid caps have been greatly out-performing the main index, so we are really in a roaring bull market for smaller caps, and it's making me feel worried about a correction. So pesonally I'm being incredibly selective about opening new positions, and am looking to top slice on things that are getting ahead of themselves. Although in fairness, I'm happy with all my current holdings & see good upside in them all.

 

There's nothing earth-shattering on the RNS this morning, so I won't rush out any comments by 8 a.m. as usual (apart from this), but will take my time & look at results from Fiberweb, and a couple of others. More updates throughout the morning.

We could see more buying today on AIM stocks, as people top up on their favourite holdings in advance of the Monday's pretty important move to allow AIM stocks into ISAs. That has to be bullish for AIM stocks, as it means a potentially huge amount of fresh money coming into the market, that has previously been forbidden from buying AIM stocks. Opinion is divided over whether this will benefit more staid AIM stocks, or the more racy ones? I'm not sure, but think it will be both actually.

 

 

So, let's look at Fiberweb (LON:FWEB 75.5p). It's a specialist industrial fabrics group, which I've not reviewed here before.

At last night's close of 73p, and with 173.58m shares in issue, the market cap was £126.7m. The shares are up 4% this morning to 75.5p, so that takes the live market cap up to just under £132m.

The company issues its interim results today, for the six months to 30 Jun 2013. Revenue is down 7% on the equivalent prior year period, at £151.6m for the six months.

What immediately strikes me is that they have two divisions, one of which, the technical fabrics division, looks good, with turnover of £105m for the half year, and underlying operating profit of £10.7m, which gives a healthy operating margin of 10.2% (10% or above is the…

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