Tip of the month

My tip this month is Domino's Pizza for five good reasons that should see its share price hit 400p this year. The group has beaten the recession, with rising sales as customers have avoided high-priced restaurants to eat pizza at home.

Trading this year has proved robust, with like-for-like sales in the first 13 weeks of 2010 up 10.5 per cent. Domino's Pizza is sponsoring Britain's Got Talent, Simon Cowell's must-watch television show, generating a lot of publicity for the chain.

The group also stands to secure a bonus from the football World Cup this summer. Many armchair fans will undoubtedly have an appetite for delivered pizza as they watch the games.

And, finally, Domino's has a new headquarters and commissary in Milton Keynes servicing more than 500 of its stores—this will boost its goal of opening 1,000 outlets by 2017.

Buy Domino's Pizza at the best price. Use a 20 per cent stop/loss to protect you against any major stockmarket fallbacks.

Stockmarket and alternative investments can fall as well as rise in value. Readers should consult their own professional advisers.