I've talked a bit recently about high yielding UK share that I'd avoid based on their Scores. So today as it's Black Friday I thought I'd flag up:

1. Stock that looks attractive on the Scores
2. High light again that you can get access to the Compound Income Scores & get a Free e-book explaining the background to them.
3. If you sign up in the next three days (by the end of Sunday) you'll get to try out the scores for three weeks for free by simply cancelling your plan by 16th December 2018.

So firstly the stock that looks attractive on the Scores is topically one that has reported a first half trading update today, namely Gateley (GTLY) the law led professional services group. They have suggested that their underlying business has grown well to provide 10% organic growth and their recent acquisitions have boosted growth in revenues by 20%.

This led them to forecast a minimum level of total revenue of £102m for the whole of their 2018-19 financial year with an EBITDA margin comparable with that achieved in 2017-2018.  This looks to be about 4% ahead of current revenue forecasts and given the margin comments this should, I would have thought, flow through to the bottom line too. Thus some upgrades here seem likely. I would also note that they have set this as a minimum expectation, so presumably they may under promise and over deliver.

The shares look good value on around 12x earnings and come with forecast yield of 5% based off of 8% forecast dividend growth, which is reasonably well covered, although that is the weakest thing in their score. They make a decent operating margin of around 17% and a huge return of capital, although that's probably not that relevant for a people / service business such as this. They have had upgrades already this year and as discussed I suspect we should see some more on the back of this update or when they actually report their first half numbers in January 2019. Putting it all together they come out with a Compound Income Score of 96 (where 100 is the best) and as such they will remain in the Compound Income Scores portfolio and in my own portfolios too, as I eat my own cooking as it were.

So there you go there's a buying idea for you sourced from the Scores and as mentioned at the start don't forget you can read more about and sign up for a free trial of the Scores by clicking here. Once you sign up you'll get your Free e-book explaining the research and rationale behind the Scores. You can then try them for free for the next three weeks if you then cancel by the 16th December 2018. If you like them you won't need to do anything as your payment will be taken on 21st December 2018 for you to then enjoy a whole year of Compound Income Scores at the equivalent of just £1 a week.

Cheers, mind how you go in all the Black Friday bargain hunting mayhem, but I don't think you'll find a better value offer than our 1-2-3 Free offer get it while it's hot this weekend.

Here is a quick update on the trades that resulted from the latest monthly screening on the Compound Income Scores Portfolio (CISP) which is based off of the Compound Income Scores. For a reminder this generally tries to pick new holdings from the top Decile & hold positions which at least rank in the top quartile.

First up on the sale candidates was Amino Technologies (AMO) the Software provider to network TV operators, which had reported disappointing half year results as expected earlier in the month. The conundrum with this one is that they say this is due to a major customer order scheduling, but they say they expect to make up the shortfall in the second half. This does however leave them as a hostage to fortune and potentially an accident waiting to happen, so I let it go. The only thing that gave me pause for thought was that the forecasts had jumped after the figures, so maybe an analyst is confident they will bounce back or more likely just following the company line, as ever time will tell, but I'll be watching from the sidelines.

The second sale was VP the tool hire & services company which had done well since entering the portfolio at the turn of the year. The score had therefore deteriorated & the shares looked overbought so I didn't argue with it.

Those together with the cash that was retained last month & from 3 dividends this month gave room for three new positions, based on their Scores and factoring exposure the portfolio already has in place. Thus to replace VP, Somero (SOM) another cyclical construction related service provider seemed like a natural replacement as it scored better than VP.

Next up was a slightly strange one called Chruchill China (CHH) - which is quite similar to Portmeirion (PMP) which the portfolio has traded successfully in the past. In this case it looks as though it is being well managed as it increases the proportion of sales it gets from international catering markets and by increasing value added offerings thereby helping to shrink the contribution from the UK consumer business where conditions remain difficult. 
Apart from it scoring well i notice that despite the recent upgrades after their trading update, the price has not really responded. So given the numbers I reckon the market might wake up to it and respond positively when they actually deliver their final results at the end of August., assuming of course that the outlook then still remains positive.

Finally the last new holding which brings something different to the portfolio was the recently listed legal services group  Gateley (GTLY). This one scores well and looks reasonable value having come back from highs recently, despite earnings upgrades and the fact that it is still come the final dividend of 4.8p which is worth about 3% at recent prices.