Another solid FTSE 350 growth stock to balance out penny share risk in a portfolio.

This company boasts impressive earnings per share growth for the last 9 years! The company directors pledge to double the net asset value of the company every 5 years, and to date have surpassed expectations.

The company re-develops brownfield sites eg. old factories, warehouses etc. and turns the land around into mixed use of commercial, residential and leisure based property. As a result the company regenerates whole areas, providing jobs and revitalising local economies.

Recent results confirm uptrend intact. Earnings and dividends tend to grow by as much as 20% per annum.

If you want a stock thats going to deliver you 20-30% growth per annum for the next 5 years, then St. Modwen is well worth looking at.

Ajren,

The only negative, is that the company trades at a premium to its net asset value. This is unusual for a property company, but if you look at earnings per share growth and dividend growth over the last decade, you will see why the premium rating is deserved.

Given the strength of the companys' land bank and development projects, earnings look secure for the next decade. The rental receipts from the commercial property portfolio in our improving economy also provide confidence.

Other positives are the governments ideas about establishing REIT's. Real Estate Investment Trusts, with tax privileges. St. Modwen would stand to benefit and would be likely to increase its dividend.

Thanks thestatusquo for High Quality post.I will research it as I am thinking of buying.
rgds aj

ajren,

Company goes ex-dividend in early April, 4.4pence of a divi. Might not seem like a lot, but it is paid 30 April, and would cover dealing costs and stamp duty.

The company also owns a sizeable stake in Chepstow plc, the racecourse property group. St Modwen agreed not to sell its stake for a year, but that year is soon up, and the company may take advantage of a high share price to sell down some of its stake in Chepstow.

A general market point perhaps in favour of companies like St. Modwen at present would be the defensive qualities of the company.

UK based, UK property portfolio, no currency risk, high commercial rental yields generating excellent cashflow.

This weekends FT seems to point up a few cautious stories about equity valuations. Perhaps money may start to rotate into defensives.

A good day today. You could do worse than buy an ISA's worth of these before deadline day.

Company goes ex-div -4.4pence- on 13th April and pays on 30th April. A well sustained, covered and growing dividend. Dividend grows well in excess of inflation year after year.

Stock would suit investors looking for income growth and capital appreciation over the next 5 years.

TSQ.

Another good day for company which is now moving towards my short term fair value target of 330pence.

TSQ.

St Modwen continues to power ahead today.

The company announced large profits at the interim stage which would indicate another record year of earnings growth.

This company hasn't disappointed over the past 10 years, and given the land bank for development, the future looks bright.

Look for strong earnings and dividend growth, which in turn will drive price north.

TSQ.

AGM reported company already banked significant profits for this year which in turn would lead to another record year.

Share price approaching new highs and likely to move through previous high shortly.

A great ISA stock, growing profits and dividends.

TSQ.

Has the re-rating now gone through on this sector? All were due
to be looked at again, just not sure when!

In terms of designation as REIT's?

Not sure exactly what you mean stockbunny?

TSQ.

Broken through previous all time high and now looking good for 350pence and beyond.

Earnings growth is in the bag. A continuation of the strong progressive dividend policy should also maintain yield.

TSQ

Sorry - thought I had read the whole sector were going to be looked
at and re-rated (target prices etc) due to the growth that had occurred.

Thought this was worth looking at again and have been buying dips at or around 300p.

My feeling is next set of figures in new year will show further solid profit progress and a further raised dividend. Figures to date would suggest this.

This stock could perhaps provide a trading buy at or just below 300p with the 330p level being the first target. Results should help an upward breakout.

TSQ