SPRING CLEANING
- christine
- Mar 2
- 2 min read
CERES POWER: SOLD
In October 2024, Goldman Sachs cut its recommendation for Ceres Power shares to neutral due to a correction in the hydrogen industry.
In February 2025, Ceres Power shares dropped 35% after Robert Bosch announced that it would end its minority holding in the company. Bosch's decision was due to a strategic shift at the group level.
Given that this share has continued its decline and has lost 58% of its value since the beginning of the year - we decided to sell our holding.
DIAGEO: SOLD
The China Dolls very rarely make decisions outside of our monthly meetings. However this month a flurry of emails between us, resulted in our selling our holding in Diageo.
We purchased Diageo shares at the beginning of the pandemic at around 2168p. Initially we were very pleased with our decision as we watched the price increase to 4020p.
However over the past couple of years it has been on a steady decline.
With the gradual increase of good quality supermarket own brands and the proposed tariffs Trump may impose on imports to America, we made the decision to sell all of our holding.
We sold at a price of 2331 - it is now sitting at 2168.
We also discussed selling CRODA having read a recent report by Sir Jim Ratcliffe, CEO of Ineos, which exposed the fragility of the chemical industry in Europe.
He states: " chemicals in Europe is facing extinction. Government policies have resulted in enormously high energy prices and crippling carbon tax bills.
The industry is in crisis with such huge disadvantages. Instead of investing in growth for the future, it is fighting for survival.
Government policies will shut all petrochemicals in Europe. All our major competitors are planning for withdrawal from Europe as government has failed to act time after time."
However, as one of our original investments in 2020, we are still showing a small profit and made the decision to hold. (oh dear, are we getting sentimental in our old age?")
HAVING SOLD DIAGEO WE HAVE MONEY TO INVEST
DISCUSSION:
We went through our portfolio and put to the vote a number of companies to consider adding to.
COSTAIN - showing a 39% profit
RELX - showing a 6% profit
HALMA - showing a 45% profit
BAE - showing a 50% profit
THE PROPERTY FRANCHISE GROUP - showing a 23% profit
COSTAIN AND RELX were the popular choice.
As usual in our modest way, we invested a further £2000 into Costain and £1000 into RELX, leaving us some money to spend next month.
DISCLAIMER
The China Dolls is a group of private individuals who meet regularly to discuss investment strategy and make investments based on the collective opinion of the the group.
The China Dolls is not in the business of offering any form of advice on investing or other financial matters.
The content of this blog is not to be considered an inducement to trade as we trade and is offered for illustrative purposes only.
Any use you may make said content is entirely your responsibility and The China Dolls will not be held liable for any losses you may incur as a result of using this blog to help you trade.
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