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ai Bot Chatgpt has grown as a forest fire since it was unleashed in the digital desert at the end of 2022. Even the newly appointed Minister of Supervision of I Irland, acknowledges that he will use it someday! Recently, I asked the chatbot to appoint me penny actions to buy.
Let's see what escapes …
Houston, we have confusion
Chatgpt plus is comfortable shaking blue chip stocks as Rolls-Royce and Nvidia consider. My theory is that it is only carried out by the largest listed companies whose prices of the actions have been strongly and names them.
But it seemed to have a problem with the stocks of the United Kingdom. Two appointed were not even Penny's shares, based on the widely used definition of a market limit under £ 100 million and the price of shares below £ 1.
The first was Watering Group HoldationsAn investment manager with a market capitalization of £ 433 million and a price of £ 3.75. In addition, this company is a member of the medium capitalization Ftse 250 index!
Granted, the London bag He is fighting with delisting and attracting new opi. But if the FTSE 250 had to begin to include stock capitalization shares below £ 100 million to compensate for the numbers, then the times would really be difficult.
The second selection of the bot was less out of the brand, since it was with Secure Trust Bank. However, while market capitalization is £ 84 million, the price of this bank's shares is even higher (£ 4.45).
The ai wizard had a bit of fun crisis when I pointed out this, finally declaring that my established task “It can be challenging, since these parameters often result in a limited selection“Of course, this makes no sense, since the United Kingdom market contains many penny actions.
Finally, a stock
Anyway, with a bit of habiting with the indications, I finally obtained that he appointed me a little closer than I was asking. It was with Renovated (LSE: RNO).
Now, market capitalization here is above the technical threshold at £ 114 million, but I no longer wanted to discuss.
Renold is a manufacturer of industrial chains, gearboxes and related energy transmission products. According to Chatgpt, the firm “The global presence, innovative product offers and strategic acquisitions are well positioned to capitalize on trends such as eleven, reinustrialization, automation and defense“. It sounds good to me.
Renold's shares have increased 247% in five years, but still quotes very low. The multiple of price profits for FY26 (as of April) is only 5.7.
He also points out that analysts have established an average target price of 12 months of 88p, which suggests potential profits of 75% of their current 50p. Well stained, although I would add that price objectives often do not arrive too much.
One thing that does not mention is that the company has enough debt in the balance (around £ 42 million of net debt). Then this adds some risk here.
Chatgpt ends with: “Investors seeking exposure to an industrial company resilient from the United Kingdom with growth potential can find Renold an attractive consideration. ”
I would secondary that. In fact, I wrote in July that Renold was a “It is worth considering the small capitalization stock“How is”The benefit margins are expanding“. It is expected that earnings per share will increase around 39% next year.
I agree with the bot. I think Renold is a small very cheap cap that is worth considering and has put it on my observation list.
(Tagstotranslate) category. Growth-Shares