Q: North West has bucked the market trend rising 13% in the last two weeks on good volume. Is it that increased spending in the Northern stores is expected due to settlements or is there some other factor at play? They report Q4 April 9.
5i Research Answer:
There has been no significant news of any kind recently. Settlements may be playing a role, but more likely it is simply a 'flight to safety' by scared investors selling other sectors. Cash flow tends to be fairly stable even in difficult economic times. The 3.18% dividend is also likely attracting investors.