3 More FTSE 100 Shares That Surged 1,000% in 10 Years: Randgold Resources Ltd. (ADR) (RRS), Tullow Oil plc (TLW), The Weir Group PLC (WEIR)

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You only have to look at the company’s earnings-per-share growth to see how volatile your holding is likely to be. It rose an almighty 795% in 2011, before crashing to -5% last year. The current forecast is for a sober 12% in 2013. Tullow Oil plc (LON:TLW) hasn’t enriched recent investors; its share price is down 4% over the past three years. That could make now a good entry point, if you can stand its pricey valuation of at around 27 times earnings.

For those willing to take a bigger risk with part of your portfolio — and from time to time you should — Tullow Oil plc (LON:TLW) is still tempting.

Weir Group
I’ve never quite got around to buying Scottish engineering company The Weir Group PLC (LON:WEIR) , and just look what I’ve missed: a massive 1,555% return over the past decade.

Pumps, turbines, and valves make the industrial world go round, and The Weir Group PLC (LON:WEIR) has earned investors a pretty penny by supplying them. This is a nicely diversified global business, with customers in 170 countries across the U.S. and Europe, Latin America, and Asia-Pacific. The flip side is that Weir is a play on global growth and can be volatile.

There was a great buying opportunity last summer, when it briefly became the most heavily shorted stock in the FTSE 100, following a slide in demand for equipment from the U.S. shale gas industry. The stock has since rebounded 66%. And that’s the problem I have with Weir. After such a great run, where can the share price go next?

Recent full-year results were good, with revenue rising 11% to 2.53 billion pounds in 2012, and profit before tax rising 12% to a record 443 million pounds. Its total dividend was up 15%, and although Weir yields just 1.5%, another double-digit increase is planned for 2013. These were results to gladden the market, but EPS growth looks modest at 2% in 2013 and 10% in 2014.

Weir isn’t that expensive, trading at 15.9 times earnings, but I wish it was a little cheaper.

The article 3 More FTSE 100 Shares That Surged 1,000% in 10 Years originally appeared on Fool.com and is written by Harvey Jones.

Harvey Jones has no position in any stocks mentioned. The Motley Fool recommends Weir Group.

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