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Top of the stocks: the ten best UK shares of 2013 so far

Nick Paler
Written By:
Nick Paler
Posted:
Updated:
30/05/2013

UK equity markets have got off to a flying start this year, with the FTSE All Share and FTSE 100 both enjoying double-digit returns, but which stocks have stood out?

Impressive year-to-date gains of 14.81% for the UK’s blue chip index and 15.2% for the FTSE All-Share come despite a few sizeable down days in recent days.

But, as ever, a number of stocks have managed to vastly outperform the benchmark indices, some more than doubling investors’ cash in the last five months.

The biggest winners of 2013 so far come from a variety of sectors, but one notable theme is the number of recovery stories, with companies rebounding off lows in a manner akin to that seen at the start of 2009.

Below we reveal the ten best UK-listed stocks from the FTSE All-Share index so far this year (to 24 May).

10. Man Group – 61.88% gain

A pure recovery play, the beaten-up asset manager has been plagued by huge redemptions from a number of its mandates, and at the start of the year results were no better.

However, having lost 80% of its value between February 2011 and July 2012, shares have since rallied sharply as investors grow more confident that its flagship AHL strategy is starting to perform again.

At the end of last year shares were still bouncing along the bottom at 83p, but since the turn of the year bargain hunters have helped propel the stock up sharply to trade at around 125p.

9. Lamprell – 62.23% gain

The oil rig maker started the year strongly after a torrid 2012 – “unquestionably the most challenging year in Lamprell’s history,” according to CEO James Moffat.

The company issued a number of profit warnings after cost overruns on key project. In March, it was fined £2.4m by the FSA for failing to update the market on the losses.

However, this aside Lamprell has started the year positively, winning a contract to build a rig for the Singapore-based Jindal Group. Shares are up significantly, currently trading at 160p, a 62% gain.

8. St Ives – 62.55% gain

Shares in the marketing and printing group have been boosted significantly by a number of acquisitions.

In March, St Ives acquired rival Amaze plc, and also reported a 10% profit boost. This month, it also acquired digital agency Branded3.

Shares were up 63% for the year by 24 May.

7. CSR – 66.18% gain

The semiconductor manufacturer posted a Q1 profit of $5.86m, compared to a loss of $16.58m in the same period last year, providing shares with momentum.

This month, it rose further, taking YTD gains to 66%, after a high-profile deal with rapper and entrepreneur 50 Cent.

The company will provide semiconductors for his SMS Audio headphone line.

6. easyJet – 66.8% gain

The no-frills airline soared into the FTSE 100 in March after doubling its share price to £10 in less than a year, with the firm now valued at more than £4bn.

The stock has continued to rise since then off the back of increasing passenger numbers as travellers switch from more expensive rivals.

Shares are currently trading at around £10.50, a rise of 66% since the start of the year.

5. Bank of Georgia – 71.84% gain

A little-known FTSE 250 financial, the bank has returned an impressive 72% since the start of 2013, following a premium listing in London.

Georgia’s largest bank, with more than one million customers domestically, it has proved an impressive way to tap into growth in the region, and also pays dividends in sterling – another plus for investors.

4. UK Mail Group – 71.84% gain

The UK’s largest independent parcels, mail and logistics service, UK Mail Group had a strong Christmas trading period, benefiting from the rise in online shopping.

With the trend showing no signs of abating, shares have raced higher throughout 2013, and were given another lift last week after its final results beat expectations.

The forthcoming privatisation of Royal Mail may provide more competition for the group in future, but for now shares are showing no signs of pulling back.

3. Xaar – 128.07% gain

The first of three stocks which would have more than doubled investors’ money in under five months, Xaar has soared after better than expected results.

The inkjet printhead maker said in early April that it was raising its forecasts for the year following an unseasonably strong start to 2013.

The industrial manufacturer is benefiting from growth in other industries – such as the graphic arts market – and having already achieved record results in 2012, the group said it is set to break those records again this year.

2. Ocado Group – 204.1% gain

Ocado – which last month agreed a 25-year strategic deal with supermarket giant Wm Morrison – appears to now be in something of a sweet spot after a difficult post-IPO period.

Despite some uncertainty over what the Morrisons deal does to its existing tie-up with Waitrose, Ocado shares have more than trebled since the start of the year to 269p.

Its latest numbers showed gross sales are climbing sharply despite the squeeze on consumers’ wallets.

1. Thomas Cook Group – 211.46% gain

The top UK stock of the year so far, the travel franchise has seen a turnaround in fortunes after it was given a funding lifeline by its bankers in 2011, having nearly succumbing to soaring oil prices and tumbling consumer spending.

Britain’s biggest tour operator has subsequently had an eventful 18 months, with a new CEO, an aggressive cost-cutting plan, and the restructure of its debt.

As a result its shares – priced for collapse not long ago – have recovered sharply. Investors brave enough to have backed the group at the start of the year have been rewarded with a trebling of their investment.

 

FTSE All Share Stocks % return
Thomas Cook Group PLC 211.46
Ocado Group PLC 204.10
Xaar PLC 128.07
UK Mail Group PLC 75.88
Bank of Georgia Holdings PLC 71.84
easyJet PLC 66.88
CSR PLC 66.18
St Ives PLC 62.55
Lamprell PLC 62.23
Man Group PLC 61.88