We have had an IMS from S&U (SUS) today which unlike their more recent statements contained a more down beat and perhaps realistic note of caution with trading described as satisfactory. This included just expecting to meet rather than beat targets, as it has done in recent years, in what they describe as their maturing motor finance business.
In addition on the home collected credit side they also allude to a more cautious tone ahead of the election - which I guess may have been understandable. But they suggest that they will see a bounce back in both divisions now that is out of the way, which seems reasonable given how the housing market seems to have reacted to the result.
Thus I'm not surprised to see it off a bit this morning, but I don't think it is the end of the road even though growth may be moderating a bit going forwards. Despite this I think this one still looks good value on less than 12x with a 3.5% yield for this year, so I'd be happy to hold.
Finally I have a confession for you today. You may recall when I launched the Mechanical Income portfolio back in April I said that I couldn't bring myself to buy Utilitywise (UTW). Well in the end I caved in and treated myself to a few just after that on the back of Woodford AM upping their stake. However, as it has done so well in such a short space of time and it's such a volatile one and it's gone ex 1.7p today I've decided to lock in a quick profit today. Spivvy I know but I still don't really trust it and I think it could still have a profits warning in H2, but looking at the chart, if you are still in it, 280p might be a better target and more obvious resistance level to think about an exit, but I guess time will tell. Fortunately I didn't get tempted to buy into PLUS500, but that probably deserves a post of it own in the near future, hail Mary.