Diploma has broken out of a bullish triangle formation over the last 48 hours. Had a long opened friday afternoon.




Hopefully looking for 300p pretty quickly.

In profit here already.

Market in general is coming to a
top I believe and all high beta stocks
which are overbought will be hit first.

Theirs no denying on the lower indicators
the stock is looking like it will fall back.

Just a matter of being patient hopefully.

Certainly a technical short.

REVERSED to long.

Gone long on DPLM results in about 10 days hoping for run up. Trading ahead on last statement. P/E of just 13 to 2013 and that looks like its going to fall.

Chart in Bullish stocks header above.

DPLM Diploma

Recent Broker Buy notes.....

Date Broker name New Price Old price target New price target Broker change

18-Apr-12 Espirito Santo Execution Buy 441.50p - 481.00p New Coverage
26-Mar-12 Jefferies Buy 426.50p 485.00p - Reiteration

DPLM Diploma

Some solid Broker backing behind
this stock.

On a forward P/E of just over 13
to 2013, very cheap.

Diploma PLC

FORECASTS 2012 2013
Date Rec Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Panmure Gordon
30-04-12 BUY 51.50 32.00 13.00 54.00 33.80 14.00
Shore Capital
27-04-12 HOLD 52.10 32.90 13.00 54.70 34.50 14.00
Westhouse Securities
26-04-12 BUY
Numis Securities Ltd
26-03-12 ADD 52.00 32.70 13.00 55.70 34.40 14.00
Investec Securities [R]
07-12-11 BUY 46.24 27.91 13.50 48.68 29.38 14.85

2012 2013
Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

Consensus 51.67 32.37 13.02 54.56 34.06 14.03

1 Month Change 0.04 0.03 -0.00 0.03 0.03 -0.01
3 Month Change -7.64 2.60 0.33 -8.47 2.79 0.42


GROWTH
2011 (A) 2012 (E) 2013 (E)

Norm. EPS 64.21% 33.40% 5.23%
DPS 19.75% 34.20% 7.77%

INVESTMENT RATIOS
2011 (A) 2012 (E) 2013 (E)

EBITDA £46.70m £53.48m £55.89m
EBIT £40.10m £52.60m £56.10m
Dividend Yield 2.11% 2.83% 3.05%
Dividend Cover 2.50x 2.49x 2.43x
PER 18.98x 14.23x 13.52x
PEG 0.30f 0.43f 2.59f
Net Asset Value PS 43.27p p p