Aberdeen University Trading and Investment Club is proud to announce that it has executed the Buy Recommendation for shares in GlaxoSmithKline, as suggested by our Health Care and Pharmaceutical Sector group which provided a strong qualitative and quantitative analysis at our meeting on Monday the 19th of November.
They highlighted current and future trends in the pharmaceutical and consumer healthcare industry and after combining this with an analysis of GSK’s competitive environment, decided that the company has solid opportunities and the business model to make the most of these opportunities. Also, the management team is one which AUTIC believes to have skills and experience which will allow the company to move forward.
Based on this qualitative analysis and the results from a Discounted Cash Flow model and a Total Shareholder Return analysis, they appraised GSK as a valuable income stock with a prosperous future which also offers potential for substantial capital gains.
After the presentation and subsequent questions, the appraisal was voted on by AUTIC members who approved the investment by a large majority. GSK is therefore the first appraisal of this academic term to be approved for the AUTIC Fund and will have a fund weighting of just under 6%.
We want to say a massive thank you and well done to all the individuals involved in the appraisal.
AUTIC Executive Committee