Good morning, it's Paul & Jack here with the SCVR. Today's report is now finished.

Agenda -

Paul's section:

M&c Saatchi (LON:SAA) - a rather disappointing announcement, that Vin Murria wants to "merge" her listed cash shell Advancedadvt (LON:ADVT) with SAA in a paper deal. I can't see why SAA would be keen to surrender control to her? Let's await their response (since published, article updated).

Judges Scientific (LON:JDG) - a strong year end trading update, with profit guidance ahead of expectations. 2 brokers have upped forecast earnings by about 10%. Not cheap, but the stunning long-term track record justifies a premium price.

Sdi (LON:SDI) - a small acquisition is made, and an important repeat order is received, resulting in a significant 22% increase in Finncap's forecast for next year FY 4/2023. SDI has a fantastic track record of creating shareholder value, so it's toppy valuation looks justified.

Lookers (LON:LOOK) - yet another out-perform update. It seems car dealers are still enjoying booming profits, driven by a shortage of new and used cars. I very much like this sector, and think it's still far too cheap - even when you adjust for earnings normalising. More takeover bids look likely.

A quick review of yesterday's larger cap retailers updates;

Greggs (LON:GRG) - slightly ahead of forecasts. Too expensive.

Next (LON:NXT) - trading well, ups guidance. Cheap on a PER of 14

B&m European Value Retail Sa (LON:BME) - also trading well, looks good value on a PER of about 14.8 by my calcs.

Just FYI, I'm planning on looking at the following updates as this morning progresses: LOOK, Churchill China

Jack's section:

Air Partner (LON:AIR) - I hold - another materially ahead update, just three or so weeks after the last. Vaccine freight demand continues to drive business. This will revert at some point but could also last for longer than anticipated, which could potentially lead to FY22 upgrades. Assuming it does revert, the group has diversified its operations in recent years and is well-funded for further investment / acquisitions.


Explanatory notes -

A quick reminder that we don’t recommend any stocks. We aim to review trading updates & results of the day and offer our opinions on…

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