4imprint

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My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

My Approach to Investing

Summary

I focus my efforts on small and mid-sized companies searching for those where the growth prospects are not reflected in the share price. I am disciplined about the valuation I am prepared to pay; I don’t like to pay over 20x forecast earnings and favour companies that are paying a growing dividend and have a prospective dividend yield of at least 2.0%. I search for companies generating strong cash flow and if not having net cash, then debt levels that is low to moderate. Where possible I like to meet management and understand what makes them tick and if they have a decent stake in the business so much the better; our interests are aligned! I like companies that are beating expectations and earnings forecasts are being upgraded. Ultimately I am looking for the “double whammy” that comes from a re-rating and from faster than expected earnings growth. Having found a potential investment I look at the share price chart as it can help with timing; so often resistance and support levels work. I size a position based on my assessment of the potential Risk and Reward of the stock. I hold between 20 and 30 holdings, making use of investment trusts for overseas or thematic exposure.

The most important number to me is the return of the Portfolio! I try not to get too emotionally involved with individual companies; if I cut a holding and it immediately bounces, so be it. All that matters is the return of the Portfolio, each month, each year, each decade!

I invest principally in the UK

I invest mainly in UK stocks as that is where I have gained my experience. There are clearly opportunities to invest in overseas companies, and it is fair to say that it is now much easier to get the information you need. I think that for a private investor, such as myself, with limited time resources, it is better not to spread my net too wide. For me, it makes sense to focus my efforts on a market where I have experience and familiarity.

I focus on mid and small-sized companies

I focus on mid and small-sized companies but not exclusively.

The FTSE 100 Index comprises the largest 100 companies and by value accounts for around 70% of the UK market, The FTSE 250, (the next 250 companies) accounts for about 25% of the market by value, and the FTSE Small Cap, FTSE Fledgling and FTSE AIM, the remainder.

The table below shows the percentage returns over 1, 3, 5, and 10 years to 31st December 2020

ABOUT ME

I launched this website in January 2012 so that I could share with other investors how I manage my investment portfolio; the JIC Portfolio.

There is complete transparency with the current portfolio and all transactions shown. I explain all trades through my blog and hope the site provides food for thought to more experienced investors as well as helping those who are new to managing their own portfolios. I believe JohnsInvestmentChronicle is unique: There are plenty of “tipsters” who will remind you of the “good ones” and quietly forget the disasters; I do not have that luxury as the Portfolio is there for all to see, backed with real money; mine! I have to confront my mistakes and deal with them; there is no hiding place! Above all, this is a true expose of the trials and tribulations of a private investor!

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4imprint: Trading update for ten months to 31 October

4imprint: Trading update for ten months to 31 October

4imprint: Trading update for ten months to 31 October

4imprint (FOUR.L, FTSE 250, Market Cap £956m, 3405p, 2.4 per cent of JIC Portfolio) 4imprint Group plc is a United Kingdom-based direct marketer of promotional products with operations in North America, the United Kingdom, and Ireland. The Company’s business operations are focused on a direct marketing business model. It delivers organic growth by using a range of data-driven, online, offline and brand-based direct marketing techniques to capture market share in the promoti

Nov 111 min read

JIC Portfolio: Short Review of each of my holdings (IV)

JIC Portfolio: Short Review of each of my holdings (IV)

JIC Portfolio: Short Review of each of my holdings (IV)

Halozyme Therapeutics : 3.0% of JIC Portfolio and up 9.2% on my average purchase price. I must admit, I'm glad to see this holding back...

Aug 183 min read

I should go away more often!

I should go away more often!

I should go away more often!

I’m back from my hike along the Great Glen Way. Great fun with some old university friends, but not a route I would particularly...

Aug 82 min read

JIC Portfolio Transaction - Re-entered an old favourite

JIC Portfolio Transaction - Re-entered an old favourite

JIC Portfolio Transaction - Re-entered an old favourite

4imprint (FOUR.L, FTSE 250, Market Cap £1.1bn, 3685p, 3.0 per cent of JIC Portfolio) 4imprint Group plc is a United Kingdom-based...

Jun 301 min read

JIC Portfolio Trade - Position sold

JIC Portfolio Trade - Position sold

JIC Portfolio Trade - Position sold

#jicportfoliotrade

Mar 41 min read

JIC Portfolio Trade and my moving up towards thirty positions

JIC Portfolio Trade and my moving up towards thirty positions

JIC Portfolio Trade and my moving up towards thirty positions

4imprint (FOUR.L, FTSE 250, Market Cap £1.4bn, 5759p, 4.0 per cent target, currently 4.0% of JIC Portfolio) 4imprint Group plc is a...

Jan 281 min read

4imprint - Trading update - Phew! "profits above the upper-end of range of forecasts"

4imprint - Trading update - Phew! "profits above the upper-end of range of forecasts"

4imprint - Trading update - Phew! "profits above the upper-end of range of forecasts"

4imprint (FOUR.L, FTSE 250, Market Cap £1.4bn, 4975p, 4.0 per cent target, currently 4.0% of JIC Portfolio) 4imprint Group plc is a...

Jan 213 min read

4imprint - Trading update

4imprint - Trading update

4imprint - Trading update

4imprint (FOUR.L, FTSE 250, Market Cap £1.74bn, 6190p, Medium Risk/High Reward, 2.9 per cent target, currently 3.0% of JIC Portfolio) ...

Nov 12, 20243 min read

JIC Portfolio Trade - Added to an existing position

JIC Portfolio Trade - Added to an existing position

JIC Portfolio Trade - Added to an existing position

#jicportfoliotrade

Sep 17, 20241 min read

Current thoughts on my positions - Part IV - Final part on Monday (AUCP, SLP, NGEX, HRI and CPI)

Current thoughts on my positions - Part IV - Final part on Monday (AUCP, SLP, NGEX, HRI and CPI)

Current thoughts on my positions - Part IV - Final part on Monday (AUCP, SLP, NGEX, HRI and CPI)

Hvivo 28.25p, 3.1% of JIC Portfolio. Last comment on Tuesday on half-year results . “Conclusion: The financial highlights are superb but...

Sep 13, 20246 min read

JIC Portfolio Trades: Trimmed a position and added to another

JIC Portfolio Trades: Trimmed a position and added to another

JIC Portfolio Trades: Trimmed a position and added to another

#jicportfoliotrade

Aug 21, 20241 min read

4imprint - AGM update

4imprint - AGM update

4imprint - AGM update

4imprint (FOUR.L, FTSE 250, Market Cap £1.74bn, 6190p, Medium Risk/High Reward, 2.9 per cent target, currently 3.0% of JIC Portfolio)...

May 22, 20242 min read

4imprint - Rising Price Review - A Nick Sleep type of company?

4imprint - Rising Price Review - A Nick Sleep type of company?

4imprint - Rising Price Review - A Nick Sleep type of company?

4imprint (FOUR.L, FTSE 250, Market Cap £1.77bn, 6310p, Medium Risk/High Reward, 3.4 per cent target, currently 3.4% of JIC Portfolio)...

Mar 27, 20242 min read

JIC Portfolio trade - Added to an Existing Position

JIC Portfolio trade - Added to an Existing Position

JIC Portfolio trade - Added to an Existing Position

#jicportfoliotrade

Jan 26, 20241 min read

JIC Portfolio Trade - New position

JIC Portfolio Trade - New position

JIC Portfolio Trade - New position

#jicportfoliotrade

Jan 23, 20243 min read

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