One of the Lloyds Insurance Brokers and trading derd cheap on a p/E of only just over 4. There is of course a reason for this and it was the termination of talks with Highways Insurance Holdings Plc (late april) were both parties jointly terminated a possible combining of their respective businesses.

Investors took this as a negative sign with Cox and the shares plummeted and have been well oversold.


The plusses are that you can snap this up at a P/E of 4.2

2 Directors have bought into the recovery

The share trades at a large discount to the sector

Last results were excelent

The forward statement is very encouraging and business is well on track

The share is in uptrend and has been for 4 consecutive days.





please DYOR.

cheers GF.

This will do for me.

Cox rubbishes notion it has under-reserved
By Andrew Cave Associate City Editor (Filed: 15/06/2004)


Cox Insurance, the Lloyd's underwriter that ousted chief executive Neil Utley last week, courted fresh controversy yesterday when it said suggestions casting doubt on its level of reserves were "not worth a row of beans".



Cox chairman Peter Owen fiercely rejected claims relating to the acrimonious breakdown of the company's takeover talks with rival Highway.

Cox, Britain's seventh largest motor insurer with a stock market capitalisation of 200m, was widely expected to buy Highway after the two entered talks in March.

Both specialise in motor insurance - a sector rapidly consolidating - and are based in Brentwood, Essex.

However, Cox ended the talks in April, declining to give details. Yesterday, it issued a statement after being stung by suggestions it had been spurned by Highway because of concerns that it may have under-reserved against future claims.

According to a report, Highway became concerned after actuary EMB said Cox's potential exposure to motor injury claims could be 70m higher than an estimate by Deloitte, another actuary.

Mr Owen stormed: "This question of who walked away from the deal. It was us. This suggestion that Highway got last-minute nerves - that was not the case."

He said Cox decided against buying Highway because it would not add enough to net assets or earnings, based on expected retained business, reserving and the need to combine accounting systems.

After Cox voiced its concerns, Mr Owen said Highway gave Cox a presentation including comments attributed to EMB that "purported to show Cox's reserve position was inadequate".

"Our folks went through it line by line," Mr Owen said, "and it was not really worth a row of beans in terms of our reserving. I have no idea how they came up with it and you could not see it within their presentation.

"There was no arithmetic determination that leads to 70m. It was just a number that was in there. The board is comfortable with our reserving and our actuaries, auditors and our regulator are also comfortable with it."

Highway is led by executive chairman Ross Dunlop and chief Andrew Gibson and valued on the stock market at 66m. It declined comment.

Mr Owen said the Highway episode had no bearing on the decision to replace Mr Utley with former Coutts chief Andrew Fisher.

cheers GF.

WHAT THE BROKERS SAY

Strong Buy 3

Buy 0

Neutral 0

Sell 0

Strong Sell 0

Total 3

Covering Brokers
Bridgewell Securities, ABN Amro, Numis Securities, Panmure Gordon - Div of Lazard, Shore Capital Stockbrokers.

Excelent.

cheers GF.

Slater.
Sorry but you have it wrong about "GeatDane's" Trendseeker chart and you are misleading people but maybe not intentionaly.. I suggest you check this With "Great Dane" Who is the developer of this System..
A strong BUY is signalled when the line GOES UP through the GREEN LINE, NOT UP through the RED LINE as you have stated.

Great Dane's words not mine "Note that the BUY signal is when the curve goes UP through the BUY line".

Please note the BUY line is GREEN not RED.

I think also that the system is copywrite.
Hoping...

There are only two signal lines BUY and SELL, heres what greatdane said when I asked him if his software was showing a sell on this...................

"A SELL is when the trend line goes DOWN through the red line,yes. Usually this takes place after a couple of days' falling price".ENDS.

So therefore if it hasnt gone down through the red line but is up above it as is the case (and there hasnt been a couple of days price falls) and is up above the green line, surely this is a strong buy. There is no other logic that you can attribute to it.

Also note his reaction to my comments on the tax shelter where he immediatly posted the chart.............. "Wow, somebody must have noticed"

Fundies point to a strong buy, brokers point to a strong buy, the charts point to a strong buy and so do I.

Top of the leader board and a lovely 26% plus rise, you were saying thirdeye?????.

cheers GF.

Now up 30%.

cheers GF.