Shares in Wolseley (WOS) may have risen sharply in the fourth quarter of last year, but there is still a long way to go before the heating and plumbing products giant repairs the damage it suffered during the economic downturn. From a peak in 2006, the financial crash drove the shares down by an astonishing 90 per cent to a trough in early 2009.
IC TIP:
Buy
at
3696p
Tip style
Growth
Risk rating
Medium
Timescale
Long Term
Bull points
- Solid growth in key US market
- Modest level of debt
- Bolt-on acquisitions
- Strict cost control
Bear points
- Trading on mainland Europe still tough
- Currency headwinds
Happily, since then the shares have shown a steady recovery, and the group is now ideally poised to take advantage of an upturn in