Short Sellers Burnt

In the headlines this week short sellers burnt by flurry of UK takeover bids and all stock picks are a mix of 81% BUY, 8% HOLD and 11% SELL.

1. SELL Tirupati Graphite

Top performing stock pick this week is Sell Tirupati Graphite by Tom Winnifrith in ShareProphets with a tip Performance 14%.

Tirupati Graphite owns and operates the Vatomina and Sahamamy flake graphite projects located in Madagascar. It also provides mineral processing technology used in refractory, lubrication, fire retardant, gasket and foil, battery and energy storage, and other applications.

Tirupati Graphite share price launched on LSE in 1998 at 10,000p and is today at 6p.

In his article Tom Winnifrith in his signature no nonsense style comments on an RNS questioning the reason for the recent resignation of 2 NEDs, asserting it was for corporate governance reasons, not the terms of a refinancing agreement.

In addition, he states “auditors have just quit over unpaid fees and … suppliers are unpaid and revolting really is in no position to throw mud” in relation to an announcement by the company that a NED candidate was rejected due to failing the DD, which Tom also does not accept.

In Stockomendation Tom says SELL and Richard Evans says HOLD. There are no active short positions open.

2. AVOID Plant Health Care

Second top performing tip this morning is AVOID Plant Health Care by Steve Moore in ShareProphets with a tip performance of 9%.

Plant health care produces biological products for the agriculture sector. Founded in 1995, Plant Health Care share price listed on AIM in 2004 at 52p and is today at 6p.

In his article Steve Moore focuses on a recent company announcement about the approval of a product by the Californian regulator for use on citrus and vegetable crops. Moore notes the lack of financial information accompanying the RNS and points to the downwards trajectory of the financials including cash flow, underperformance and forecast.

In Stockomendation Steve Moore is the only analyst with AVOID and there are no active short positions open.

3. BUY Carnival

Third top performing stock pick this week is BUY Carnival by Peel Hunt with a tip performance of 6%.

Carnival Cruise Line is an international cruise line with headquarters in Doral, Florida. The company is a subsidiary of Carnival Corporation & plc. Its logo is a funnel shaped like a whale's tail, with a red, white, and blue colour scheme. This trademark funnel design is built onto the line's ships.

Founded in 1972, Carnival Cruise Line share price launched on LSE at 2,678p in 2004 and is today at 1,192p.

Carnival Cruise Line shares were up by almost 5% on Tuesday after the shares were upgraded by Peel Hunt from BUY to ADD with target price up 200p from 1,100p to 1,300p. It topped the FTSE 350 leaderboard on the same day.

Peel Hunt pointed to “the company's more attractive debt profile” as it repays and replaces expensive debt. You can see the RNS here.

In Stockomendation Peel Hunt says BUY, Shore Capital says HOLD and Jon Smith says WATCH.

UK Fund Manager Short Positions
See which UK Fund Managers are betting against your investments by accessing current & historical short positions on UK companies showing you which fund manager has shorted which company and by how much.

Join Now

Think you can pick stocks? Play the May league UK Share Picking game FREE : uksharepickinggame.co.uk

Disclaimer: The contents of this article should not be considered financial advice. Pricing data correct as at 6th June 2024.