Minutes of Roborough Investment Club Meeting
#20 - 12 December 2000

Attendees: Alan Worroll, Andrew Watkins, Dave Johnston, Geoff Floyd, Kevin Forrest, Richard Albon, Andy Davies, Martin Collinge, Stephen Andrew, Chris Bailey, Allan Proudfoot, Wez Davey

Apologies: Franz Fuchs, Cyril Bouhallier, Alan Martin, Phil Ainsley, Les Watson,

Absent: Rick Haggitt

Agenda

1) Review Minutes of previous meeting

The previous minutes were accepted.

2) Review actions

19.1 - Alan Martin to propose a purchase (of shares in an oil company).

3) Review Treasurers Report

RIC Treasurers Report - Dec 00

One missing payment last month -

Cyril Bouhallier - but has paid this month.

BUT Rick Haggitt - has paid 60 this month to make up for last month.

Shares purchase/sales this month

Sold Chloride - 1228.39 realising a profit of 725.83

Sold VI Group - 198.56 realising a loss of 64.73

Purchase 237 DICOM for 1017.14

Dividends Received

None.

Asset Summary

Name of Company

No shares

Average price

Total Cost

Selling price

Net selling value

Profit or loss to date

Change during month

Barclays

31

1676.13

519.60

1971.00

599.01

79.41

0.93

DICOM

237

4.29

1017.14

350.00

817.50

-199.64

-199.64

Fleming Euro IT

108

461.35

498.26

386.00

404.88

-93.38

-31.32

ICI

90

571.37

514.23

476.00

416.40

-97.83

49.50

Parthus 

370

2.76

1020.99

168.00

609.60

-411.39

-240.50

Prudential

53

979.40

519.08

1082.00

561.46

42.38

82.15

Tepnel LC

1064

94.09

1001.12

64.00

668.96

-332.16

-212.80

Tesco

221

225.52

498.41

268.00

580.28

81.87

11.60

365 Corp

242

212.99

515.44

44.00

94.48

-420.96

-26.62

Volex

85

1795.11

1525.84

1740.00

1467.00

-58.84

-327.25

6023.01

7630.11

6219.57

-1410.54

-893.95

 Investments lost nearly 900 last month.

DICOM lost 200
Parthus lost 240
Tepnel lost 212
Volex lost 327

Old economy shares rose a little or flat: Pru, Tesco, ICI and Barclays.

Unit price dropped from 164 to 146,

 

Stop Loss

BARC

DCM

FEF

ICI

PRH

PRU

TED

TSCO

TSF

VLX

Max

2010.00

495.00

466.50

562.00

297.00

1088.00

92.50

277.75

302.50

2125.00

Current

1983.00

495.00

410.00

520.00

223.50

1070.50

66.00

272.00

42.00

1735.00

Change

99%

100%

88%

93%

75%

98%

71%

98%

14%

82%

Original

1639.00

422.00

441.50

555.25

270.00

952.00

92.50

219.00

207.00

1650.00

Change

121%

117%

93%

94%

83%

112%

71%

124%

20%

105%

 

ICI has recovered to 93% having fallen below the stop loss the month before last month.

Parthus (PRH) is still below the 20% stop loss but has recovered compared to last month.

TSF fallen further to 14% (17% last month) - We have already decided to hold on as it is now worth so little.

Tepnel (TED) has fallen below the stop loss at 71%

 

 

4) Review of current holdings

Each "share buddy" at the meeting gave a brief update about his share.

Notes

Buddy

Share

Recommendation

BARC

Richard Albon

No reason to change.

HOLD

DCM

Geoff Floyd

Fluctuation throughout the last month 20% to +25%

HOLD

FEF

Franz Fuchs

No information

HOLD

ICI

Andrew Watkins

It is forecasted to stay at this level.

HOLD

PRH

Phil Ainsley

Parthus are looking a bit more festive than last month, and I'm sure are ready for a surge in the new year.

HOLD

PRU

Andy Davies

Steady growth last month. Pulled out of talks to buy equitable life

HOLD

TED

Les Watson

The markets have reacted badly to a director saying that the share price is unlikely to rise above 83p until 2002

SELL

TSCO

Alan Worroll

Steady growth last month.

BUY

TSF

Wez Davey

Price so low it is hardly worth selling.

HOLD

VOD

Les Watson

No purchase yet. Awaiting development.

WAIT

VLX

Dave Johnson

Steady growth, no reason found for fall last month.

HOLD

A vote on whether to keep or sell Tepnel Life Systems was carried out and the vote was in favour of selling Tepnel to cut losses.

Action 20.1: GF to sell our stake in Tepnel Life Systems

4) Review Investment proposals

4.1) Boots (BOOT.L)

Proposal by Chris Bailey / Les Watson at the previous Tuesday Lunch-time meeting. Further analysis by Geoff showed reasonable dividend yield, low PER and 33% gearing. The share price is currently half of the high set a couple of years ago and the current trend is positive. With an election next year, there could be an emphasis on health. This may help companies like Boots.

4.2) Alliance Unichem (AUN.L)

Proposal by Chris Bailey at the previous Tuesday Lunch-time meeting. Further analysis by Geoff showed reasonable dividend yield, low PER but >100% gearing. The share price is currently at a high and although on a positive trend, the high gearing could affect the company in a downturn.

4.3) Independent Insurance Group (IIG.L)

Information given by Andrew Watkins PEG 0.82, PER 13.3 EPS 16.1 (Nov CDREFs) requires further investigation

4.4) Royal Bank Of Scotland (RBOS.L)

Information given by Andrew Watkins PEG 0.59, PER 13.5 (Nov CDREFs) requires further investigation

4.5) Iceland (ICE.L)

Information given by Andrew Watkins PEG 0.2, PER 8.9 (Nov CDREFs) requires further investigation

4.6) Ferraris Group PLC (FER.L)

Information given by Andrew Watkins requires further investigation

4.7) Richmond Foods PLC (RFD.L)

Information given by Steve Andrew requires further investigation

After reviewing, we held a vote on buying boots shares, buying further Tesco shares and holding off to investigate further : 4.3 - 4.7

Action 20.2 GF to purchase 1000 of Boots shares (Chris Bailey to be the share buddy)

Action 20.3 GF to purchase a further 1000 of Tesco shares (Alan Worroll to remain share buddy)

Action 20.4 ALL to investigate further IIG, RBOS, ICE, FER and RFD

5) Agenda for next meeting

Next Meeting: 9th January 2001