Intertek Group plc (ITRK.L)

(Note the short timeframe.)  Small cap, with more potential to grow its business than the competition. Yield is good, with dividend growing at a hefty rate. Tariffs make good business, as it's more important than ever to assess what's being exported and imported. Not a huge revenue base going to the US. A buy right now.

Quality control in toys, food, auto parts, and so on. You name it, they get a piece of the pie. Small cap, tentacles throughout the world. Growing at a faster rate than competitors, giving it greater margins and cashflows. Recent Brazil acquisition in building/construction. Not a capital intensive business.

ROIC is 18%, WACC is 11%. Dividend's been growing 17%, and stock's risen 12% compounded annually. (Price in UK pounds.) Yield is 3.16%.

This is a group in Britain who do product inspection. Whether it is toys, clothes, food, anything that needs government regulation to inspect, has to get the stamp of approval from this company. They are selling more to their existing clients, but also getting new business. Projections are for 20% growth, both in earnings and dividends, and as a result, it has hit a new high today. (Analysts' price target is £4460.)

(A Top Pick June 7/13. Down 11.38%.) Still likes this a lot. Has suffered in the last 12 months because of 1) the very strong sterling, and 2) testing inspection for commodities has declined, as demand for commodities has declined. Opportunity for them is still there, because more and more companies are outsourcing their testing inspecting. The real kicker is China. Right now you can’t do inspection for China in China, but China is talking about opening it up to foreign competitors, and this is one of the big 3.

(London Exchange) Had a pretty weak year. The overall testing, inspecting, certification business has been challenged because of commodities. Out of the big 3, this is the most exposed to the consumer. The catalyst for them is that China is considering opening up its market to foreign tech companies. Right now the big 3 do Chinese testing, but all for exports, none for the domestic market. There is talk they are going to be allowed. If so, he is looking at 12% additional top line growth. Yield of 1.75%.

A testing, inspection and certification company. There are only 3 big players. Great growth opportunity from their organic business, but also from bolt-on acquisitions. They do maybe one every 2 months. There do a 5,000,000-10,000,000 pound acquisition. This adds significantly because they can take out all the back office and just work with the front office and sales. Sees double digit growth long into the future.