Time To Start Picking Stocks In The UK: Barclays

UK stocks have surged in the last six months, but the improvement in share prices has not always reflected company fundamentals. During such general rallies it’s enough to be in the market, but now that stock prices are decoupling from the market as a whole, investors need to start picking stocks if they want to do well, explains Barclay’s analyst Alex Stewart. He recommends looking at EPS growth to find good deals.

UK recovery uneven

Correlation between prices rose during the last six months even though actual evidence of a sustained UK recovery is uneven, which is usually a good sign that prices are based more on sentiment than on fundamentals, since it is the...