Morning Brief – 8-Oct-2018

Morning Brief Images 8-Oct-2018

UK Stock Market News Today – 8-Oct-2018

Morning all!

Bioventix (BVXP) – 3220p – £165.5m – PER 32.2

Results For The 12 Months To End June 2018 – Revenue up 21% to £8.8m, PBT up 19% to £6.9m, Cash up £0.8m to £7m, Second Interim Dividend of 36p (2017: 31p) and a Special Dividend of 55p (2017: 40p).

Another one of my casualties from waiting for pullbacks and not paying up (have now gladly changed this approach)! Remains on my Watchlist.

Codemasters Group (CDM) – 176.5p – £247.1m – PER 14.9

Trading Update For The 6 Months To End September 2018 – FY to be in-line.

First coverage for me, I will go Neutral here while I look into what “in-line” is forecast to look like – Gross margin here is 88.5% and they have a decent amount of Cash too, so looks healthy enough.

EasyHotel (EZH) – 101.5p – £148.1m – PER 50.8

Trading Update For The 12 Months To End September 2018 – In-line.

On a PER of 50.8 this now looks more reasonably priced (it was 70+ last time I looked) but I will remain Neutral for now.

Reach (RCH) – 65.6p – £196.3m – PER 1.76

Q3 Trading Update – Expects FY to be in-line (PBT between £132.1m to £133.9m).

It’s very cheap and the yield stands at 9% here. The risks to me are the HUGE Pension Deficit and the terminal decline of the print sector. I remain Neutral but with £130m or so in PBT and the push to digital revenues this may well be the bargain of the year, perhaps!

Sopheon (SPE) – 908p – £92.0m – PER 23.0

Q3 Trading Update – Expecting FY to exceed current market expectations.

Sadly remains on my Watchlist since 367p, less than a year ago – One of the reasons I have moved away from waiting for pullbacks. Remains on my Watchlist until I finally decide to pay up here, perhaps today!

Angling Direct (ANG) – 108p – £46.4m – PER 43.1

Interim Results For The 6 Months To End July 2018 – Revenue up 55.8% to £21.94m, PBT up over 50% to £0.57m, EPS positive 1.11p versus -0.33p last time.

I remain Neutral here although I have to say, I have probably got this one wrong – Last time I said “Quite a lot to like here but it’s fishing equipment! Just feel Amazon could gobble the on-line side up quite easily if it wanted to and that the retail side is probably running at a tiny profit/loss”.

Amino Technologies (AMO) – 211.5p – £154.0m – PER 12.4

Trading Update For The 12 Months To End November 2018 – This looks like ouch! Orders down and costs up. FY PBT expected to be circa $11.5m and Stockpedia has Net Profit forecast at $18.4m.

It mentioned the dreaded “H2 weighting” in the previous results and confidence in hitting FY expectations. I’m moving from Neutral to Avoid here for now.

As always, all comment most welcome!

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