LONDON (ShareCast) - (ShareCast News) - Investors overreacted after the referendum vote, selling down shares of Vertu Motors over fears that Britons would be too afraid to continue splashing out on big-ticket items like cars, The Times´s Tempus said.
Yet the automotive retailer´s latest update sought to allay those worries and with reason, telling markets it had yet to see a major dent to consumer confidence or spending patterns.

The company meanwhile has continued to snap-up underperforming rival car dealerships, having acquired 16 outlets over the past 12 months, with the majority of those lying closer to the premium-end of the market.

Low interest rates and high employment should also keep consumer happy to spend, according to the tipster.

Vertu also has additional protection because it focuses on used card and has a higher-margin after-sales business.

Tempus admits there are risks around the weaker pound, for example, which might see Ford jack-up its prices.

Nonetheless, "Buy," Tempus said.

"Potential bolt-on growth and the shares have come off sharply since Brexit."


Despite the concerns surrounding Premier Oil´s funding arrangements, the explorer may be well-placed to benefit from any recovery in the price of crude oil, Tempus believed.

Indeed, the specific results of the company´s talks with its lenders about the $2.6bn owed to them remain to be seen.

However, the firm was still able to secure the backing of its banks to acquire E.On´s UK North Sea assets this year.

"If Premier gets some financial headroom it may yet take further advantage of the depressed situation in the region. With strong production and costs reduced, it could be well placed when the oil price starts to venture upwards again."

So 'Hold', Tempus concluded.

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