Good morning! Somewhat belatedly, I watched "The Wolf of Wall Street" last night for the first time, and have to say it's one of the best films I've ever seen. We were in fits of laughter at some of their antics. Although the portrayal of the villains as lovable rogues was rather too sympathetic for my liking - they were after all despicable characters, with appalling morals, who ripped off gullible members of the public for many millions. Hugely entertaining though.


Kromek (LON:KMK)

This company makes digital X-ray imaging equipment, and has been twitching away on my watch list for a little while, as the newsflow has been good lately. There are more contract wins announced today, although the biggest is only $1.45m.

Given the company being fairly early stage in terms of sales, I think the market cap of £51m (at 45p per share) looks a somewhat aggressive valuation. Even though sales are forecast to more than double to £12.5m this year (ending 30 Apr 2015), it is still forecast to be loss-making. For my tastes, there needs to be a more clear route into profitability to justify a market cap of over £50m. Especially now markets are much more sceptical towards speculative small caps than they were a few months ago, when the small caps indices peaked in Mar 2014.


WH Ireland (LON:WHI)

My main broker reports positive trading in H1 (to 31 May 2014) today.

Revenue growth in both the Private Client and Corporate Broking divisions has been encouraging and has continued the trends witnessed during 2013, namely a strong increase in management fees and commissions in the Private Client division and a solid increase in retainer income and success fees in the Corporate Broking division.

Profit before tax after specific reorganisation costs incurred during this period will be ahead of the comparable period a year ago.

Looking at forecasts, an increase in EPS this year to 6.2p is on the cards, so at 108p the shares are on a forecast PER of 17.4, which looks about right to me.

Note that there is a freehold property in Manchester on the books, which personally I like, as it's hidden value that supports the valuation. That's in the books at £4.75m, which is material to the market cap of £26m.

NTAV is about £12m, so the market cap…

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