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.

Brokers have some bullish recommendations too on the stock.

Overall we are looking at a forward P/E of just 13.6 to 2011.

Diploma PLC

FORECASTS WIRES 2010 2011
Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)

Panmure Gordon
24-09-10 BUY 31.50 18.20 8.19 33.50 19.60 8.60
Investec Securities
22-09-10 HOLD 31.50 18.21 8.40 32.50 19.22 9.07
Numis Securities Ltd
10-09-10 ADD 31.70 18.60 8.00 34.90 21.30 9.00
Singer Capital Markets Ltd
10-09-10 BUY 31.70 18.40 8.60 34.40 20.90 9.40
Shore Capital
10-09-10 BUY 31.80 18.60 8.30 34.20 20.30 8.90
Altium Securities
03-09-10 BUY 31.40 18.20 8.50 34.40 20.90 9.00
The Royal Bank of Scotland NV
08-07-10 BUY 28.90 16.81 8.40 30.67 18.35 9.10
Cenkos Securities [A]
05-07-10 BUY 26.10 15.30 8.00

2010 2011
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)
Consensus 31.32 18.21 8.33 33.62 20.14 8.99
1 Month Change 0.05 0.03 -0.07 0.46 0.33 -0.01
3 Month Change 2.53 1.44 -0.02 3.02 1.66 0.12

Notes to forecasts
(08 Jul 10) A flag refers to outlook


GROWTH
2009 (A) 2010 (E) 2011 (E)
Norm. EPS -5.26% 68.57% 10.60%
DPS 22.95% 11.01% 8.01%

INVESTMENT RATIOS
2009 (A) 2010 (E) 2011 (E)
EBITDA 26.50m 33.36m 35.38m
EBIT 21.20m 29.49m 31.70m
Dividend Yield 2.73% 3.03% 3.27%
Dividend Cover 1.44x 2.19x 2.24x
PER 25.46x 15.10x 13.66x
PEG -4.84f 0.22f 1.29f
Net Asset Value PS 35.15p 115.83p 117.46p

great looking chart and about to go for
next upleg imo.

fundies to back up with with forward P/E of
just 11.8 going into 2012.

Diploma PLC

SUMMARY CHARTS DIRECTOR DEALINGS FORECASTS WIRES 2011 2012
Date Rec Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)
Panmure Gordon
22-12-10 BUY 36.10 21.10 9.90 38.20 22.50 10.20
Altium Securities
21-12-10 BUY 34.80 21.10 9.50 38.00 23.40 10.00
Shore Capital
17-12-10 HOLD 36.10 21.50 10.40 39.00 23.90 11.50
Investec Securities [R]
08-12-10 HOLD 32.50 19.22 9.07 34.70 20.48 9.80
Numis Securities Ltd
23-11-10 BUY 35.00 21.50 10.20 37.70 23.30 11.50
Singer Capital Markets Ltd [R]
22-11-10 BUY 35.60 21.70 9.40 37.20 23.00 9.90
The Royal Bank of Scotland NV [R]
05-11-10 BUY 34.55 20.73 9.50

2011 2012
Pre-tax () EPS (p) DPS (p) Pre-tax () EPS (p) DPS (p)
Consensus 35.52 21.29 9.99 38.24 23.26 10.76
1 Month Change 0.74 0.43 0.52 1.15 0.88 0.55
3 Month Change 1.89 1.15 0.99 2.23 1.62 1.19

Notes to forecasts
(08 Jul 10) A flag refers to outlook


GROWTH
2010 (A) 2011 (E) 2012 (E)
Norm. EPS 36.83% 44.06% 9.28%
DPS 8.00% 23.30% 7.75%

INVESTMENT RATIOS
2010 (A) 2011 (E) 2012 (E)

EBITDA 32.90m 37.75m 40.35m
EBIT 27.30m 34.90m 36.70m
Dividend Yield 2.94% 3.63% 3.91%
Dividend Cover 1.82x 2.13x 2.16x
PER 18.61x 12.92x 11.82x
PEG 0.50f 0.29f 1.27f
Net Asset Value PS 40.18p p p

Excellent trading update today. Still looks good value on fundamentals imo but always dyor.

Gone long on DPLM Diploma, system pick from sunday. Weekly bullish crossover on MACD just taking place. Sound fundies. chart to come.



Weekly chart and MACD crossover, other indicators back it up .........

Bullish MACD crossover on weekly chart......

Share price has continued to respond to positive interim figures in Mid May. They have used spare cash to invest in growing the business and so far looks like going to plan, but always dyor. I hold.

Gone long again of DPLM, 52 week high lovely chart, still cheap on fundies and highly cash generative.

DPLM Diploma.

Gone short looks technically
overbought and oscilators are
pointing to this.

360p SP Target Initially

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