If ‘Volatility’ best describes the Shares indices in 2011, then ‘Diversity of Performance’ is the phrase to describe the huge range of share price performance by individual companies in 2011. Lombard Risk Management was the best performer – up 175% in 2011. See Lombard wins on risk management. Closely followed by Gresham Computing (up 104%) – See Growth accelerates at Gresham - and IDOX up 74% - See Diversification allows IDOX to continue to growth.
Just to show that when you are a truly great company the economy doesn’t have too much effect, it is worthy of note that ARM (up 40% in 2011) and Apple (up 26%) have just continued their ever-upward trend. For many years wise pundits have forecast that the ‘end of the rise is nigh’ but it never happens. ‘Never say Never’, but personally I am bullish about the fortunes of both companies for 2012.
Amongst the largest global IT services players, Accenture continued to show a clean pair of heels to the rest – up 10%. See – Accenture Q1 – The real messages. Every other major global IT Services player – including every one of the Indian players – recorded share price declines in 2011. The worst performers of that bunch were Logica (See Logica confronts the inevitable) and CSC (See CSC Quarter horribilus. The news just before Christmas that CSC might well be writing off $1.5b on its NHS IT contracts will not have helped…) Both companies fell 52% in 2011. Logica fell 22% in Dec 11 alone.
Although now part of our ‘Dearly Departed’ ranks, Autonomy investors had recorded a 66% gain YTD when the HP deal completed. Conversely, HP is down 39% on the year. Whatever one might think of the virtues of the HP/Autonomy deal, it certainly was good for shareholders!
Conversely it must come as no surprise to HotViews readers to learn that Mouchel (down 95% in 2011 - 56% in Dec 11 alone!) got the Wooden Spoon. See Mouchel still at the turnaround starting point). Mind you Maxima (down 67% - See Maxima minimises) and RM (down 66% - See RM clears out old furniture) were not that far behind. Mind you we, and many other RM shareholders, have high hopes that Martyn Ratcliffe can work his magic in 2012.