We believe shares in specialist manufacturer DiscoverIE (DSCV) are too cheap and deserve a higher rating. The group makes customised electronic components for industrial uses, typically in mission-critical applications. Over the last decade, operating margins have more than tripled while shareholder returns have increased significantly. However, this hasn’t been recognised by the market meaning the shares have derated substantially in recent years. Without stretching the valuation case, we can see the shares trading significantly higher in one or two years’ time. Share price: 620pPE: 15.4xMarket Cap: £600mYield: 2.1% What does the company do? Like many successful UK ‘compounders’, DiscoverIE manages…

Shares in Auction Technology Group (ATG) fell 8% to 283p after bidder FitzWalter Capital walked away. In doing so, the investment firm drew a line under its months-long campaign following repeated rejections from ATG’s board. Share price: 283p (-8.4%)PE: 60.5xMarket cap: £374mYield: n/a THAT’S YOUR LOT On 16 January, FitzWalter announced it was considering a 400p per share offer for the auction software firm. After ATG’s board refused to grant access to due diligence, FitzWalter said last week its 400p offer was final. Having been rejected yet again, after months of trying, FitzWalter said it would not make an offer.…

Infrastructure group Balfour Beatty (BBY) announced it has won a major maintenance deal with Warwickshire Highways. The contract is worth an initial £315 million over nine years, although with extensions it could reach £900 million. Share price: 714.5p (+0.1%)PE: 16.6xMarket cap: £3.5bnYield: 1.9% THIRD CONSECUTIVE WIN This marks the company’s third consecutive term delivering the Warwickshire Highways Maintenance contract taking it through to 2033 initially. The firm will be responsible for road maintenance, street lighting and public services across over 3,500 miles of roads. Balfour Beatty will implement an integrated, digitally enabled model with a centrally controlled planning and permit…

Shares in credit card giants American Express (AXP) and Visa (V) were sold by investors after they posted quarterly results. Both firms reported an increase in sales and earnings but there were questions over the FY26 outlook. AmEx share price: $347 (-3.2%)Visa share price: $323 (-2.4%)AmEx market cap: $245bnVisa market cap: $630bn SLOWDOWN AHEAD? AmEx shares dropped 3.2% to $347 while Visa shares dropped 2.4% to $323. Last year, AmEx shares rose around 25% while Visa added than half that with an 11% gain. American Express posted a 10% increase in Q4 revenue to $18.98 billion against a consensus forecast…

Specialist pharmaceutical maker Shield Therapeutics (STX) delivered investors more good news with the potential approval of ACCRUFeR in China. The firm’s local partner ASK has filed for marketing authorisation and expects approval this quarter. Share price: £11.10 (+1%)PE: n/aMarket cap: £118mYield: n/a APPROVAL THIS QUARTER ACCRUFeR is an oral therapy for adults and children over 10 with clinically low iron levels. The condition can cause serious health problems for adults of all ages across multiple therapeutic areas. ASK, aka Beijing Aosaikang Pharmaceutical Co, plans to include positive data from Shield’s Phase 3 clinical pediatric trial with the application. The same…

Defence firms Avon Technologies (AVON) and Cohort (CHRT) posted upbeat statements this morning regarding FY26 trading. Avon said it had had a ‘record start’ to the year, while Cohort announced it had received two new contracts. Avon share price: £17.90 (+0.1%)Cohort share price: £11.88 (+0.9%)Avon market cap: £524mCohort market cap: £539m SUSTAINED DEMAND Avon is a leader in protective systems for military and civilian use, including outerwear, respirators, rebreathers and air systems. It also makes CBRN (chemical, biological, radiological and nuclear) protective wear. The firm said it had a record start to the year thanks to ‘sustained’ demand for its…

Pharmaceutical giant AstraZeneca (AZN) is expanding its weight-loss and diabetes drug portfolio in a deal with China’s CSPC. In total, the two firms have agreed to develop eight treatments including a ‘clinical-ready’ asset. Share price: £134.50 (unch)PE: 30.9xMarket cap: £208bnYield: 1.8% NEXT-GENERATION TREATMENTS Astra has agreed a deal with CSPC to develop next-generation therapies for obesity and type-2 diabetes. Initially the companies will work on four programmes using CSPC’s advanced AI-driven peptide drug discovery technology. The UK firm will have exclusive global rights outside China to CSPC’s once-a-month injectable weight-loss portfolio. This includes one clinical-ready asset, a long-acting GLP1R treatment…

Shares in US defence prime Lockheed Martin (LMT) soared $44 or 7.5% to a new all-time high of $641.50. The aircraft and missile systems maker posted better-than-forecast Q4 earnings and issued positive FY26 guidance. Share price: $641.50 (+7.5%)PE: 27.8xMarket cap: $148bnYield: 2.2% FLYING HIGH The defence group reported Q4 revenue of $20.3 billion, up 9.1% on the prior year and ahead of the consensus of $91.85 billion. It also posted better-than-expected EPS of $5.80 against a mean estimate of $5.75. Performance was helped by continued strong demand for fighter jets and weapons systems as geopolitical tensions rise. Q4 sales for…

Shares in online food retailer and warehouse operator Ocado (OCDO) dropped 10% on news a Canadian warehouse is to shut. After assessing ecommerce demand, customer Sobey’s has decided to close its facility in Calgary. Share price: 220.8p (-10.2%)PE: n/aMarket cap: £1.8bnYield: n/a LACK OF DEMAND Canadian firm Sobeys operates three CFCs (customer fulfilment centres) using Ocado’s smart platform software and robots. However, due to lack of demand in the Alberta online grocery market it has decided to close its Calgary centre. In another blow, Sobeys said it would keep development of its Vancouver CFC on hold as it assessed the…

Shares in land and property developer Henry Boot (BOOT) fell 10% after the firm warned on FY26 earnings. Due to a combination of factors, the group now sees this year’s earnings ‘significantly below current market expectations’. Share price: 197p (-10%)PE: 9.9xMarket cap: £268mYield: 3.6% Boot said despite continued political and economic uncertainty it expected FY25 profit to be in line with estimates. Strong demand for prime residential sites saw land sales hit a record, but that was the extent of the good news. Transaction volumes subdued Transaction volumes across the firm’s markets were ‘subdued’, with deals taking longer to complete.…