Instem (INS)

Instem INS Logo

A leading provider of IT solutions to the global early development healthcare market.

26-Mar-2018 – 195p – £31.0m – PER 15.5

Interim Results For The 26 Weeks To End December 2017 – Revenues up 19% to £21.7m (2016: £18.3m), Reported PBT of £0.8m (2016: £0.02m), Adjusted fully diluted EPS of 13.8p (2016: 11.2p) with Net Cash of £3.1m (2016: £4.2m). And, a quite positive statement on the future “The Board therefore looks forward to the coming year and beyond with increasing optimism on the back of an enhanced delivery platform, which promises to deliver significant revenue growth, enhanced profitability and improved quality of earnings”.

I really can’t work this one out. It seems like a decent company growing at 20% or so with a PER of 15.5. Something doesn’t quite feel right here though and with a Spread of 5%+ it’s just enough for me to remain Neutral for now.

23-Jul-2018 – 294p – £46.8m – PER 19.9

Trading Update For The 6 Months To End June 2018 – In-line.

Quite like this and will remain Neutral while I do some more research. From a technical stand point a break-out to a new all time high (above 325p) would be a signal of interest (especially with EPS forecast to do so too (in FY 2018)).

24-Sep-2018 – 300p – £47.7m – PER 19.5

Interim Results For The 6 Months To End June 2018 – Revenue up slightly, Adjusted PBT up from £0.1m to £0.8m and EPS or 4.7p (0.2p last time).

Still quite like this and taking part in a break-out above 325p could prove sensible. Going on the Watchlist.

1-Apr-2019 – 306p – £49.7m – PER 19.3

Results For The 12 Months To End December 2018 – Revenue up 8% (to £22.7m), PBT £1.7m, Adjusted Fully Diluted EPS of 15.5p with Net Cash at £3.6m. Confident for 2019.

Still quite like this and still watching for a break-out above 325p, remains on the Watchlist for now.

23-Sep-2019 – 375p – £61m – PER 18

Interim Results For The 6 Months To End June 2019 – Revenue up 11%, PBT up from £0.1m to £0.4m, Diluted EPS up from 0.2p to 1.9p, Cash at £6m (£3.7m). Move from perpetual to SaaS more successful than anticipated, slight current year impact but liner term recurring going forward.

Quite like this but does look about fairly valued now.

Research Tree Banner