News

The risks at Cairn Energy are clear. Cairn has been a beneficiary of the high oil price and its small, producing fields are already in decline (gross production fell by 11,000 barrels a day to 80,873) in the first half.

Unplanned delays to the Rajasthan field's start-date would also be costly, and there is already so much expectation built into the share price.But if you are looking for a stock that will move independently of the world's economic woes and could prove a lucky punt, Cairn is it. Buy says the Telegraph.

Oil services group Wood shares are up 32% in the last 12 months and investors have also done pretty nicely out of owning the stock. Indeed, there was yet further cheer yesterday when the group announced that first-half pre-tax profits were up by more than a decent 46%, to $181.3m. Wood is a very good company, but buyers looking for impressive returns would probably be better looking elsewhere. Hold says the Independent.

Even if the incredibly unlikely does occur and the price per barrel falls to $60, most of the projects that Wood is working on will still be carried out because they involve either necessary repairs or new pipelines needed to deliver oil and gas. Any fall from yesterday's 434p should encourage investors to buy says the Times.

Difficult times lie ahead at CRH, the Irish building materials company. CRH has looked like a good investment. It pegged its expansion strategy on acquisitions, recently dipping its toes into both China and India. A recent share buyback programme was calculated to retain shareholder loyalty. However, if its cash pile diminishes as profits slide, building through acquisition will become more tricky. A solid track record gives hope that the good times will return. Hold says the Times.

Bunzl boss Mike Roney believes 75% of the group's revenues are resilient to a slowdown. The other 25% is in the non-food retail and personal protection divisions, where sales will slow but the effect should be minimal given growth elsewhere. After hitting a high of 749p in May, Bunzl's share price fell as low as 622p last month, but now looks to be back on the growth track. Buy says the Telegraph.

For a company that has not yet produced any coal, Coal of Africa Limited (CoAL) is doing rather well. With coking coal in short supply, a rebound is on the cards when production - finally - begins. For those who fancy a flutter and are prepared for the risk, the shares are a buy says the Times.

Broadband and telecoms systems group BATM yesterday published its interim results showing a 161% increase in pre-tax profits.The company is exposed to the economic downturn, but it seems to be coping well enough at the moment. At a discount to its peer group, Buy says the Independent.

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.