See what's trending this week...
Companies: APC, BQE, BMS, BUR, K6YA, E3C, EUSP, FDM, GETB, CRPR, JOUL, KAPE, KWS, RLW, RUA, SORT, SRT, STAF, SNX, TCN, W7L, XLM, XPF
Burford Capital (BUR)
Very strong HY results | Liberum, 25 Jul
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"Burford has reported another impressive performance in the H1/18 period. Adjusted profit before tax of $163.8m represents 72% of our current full year forecast, significantly de-risking our FY forecast..."
Burford Capital (BUR)
No need to appeal these results | Hardman & Co, 26 Jul
Free Access
"The 2018 interims yet again gave record figures, with the headline figures showing income and profits after tax both up 17%. The stand-out figure, however, was cash generation, which was boosted by the sale of the Teinver claim and came in at $299m. The main driver behind this growth remains the litigation finance business, which accounted for almost 95% of revenue..."
XLMedia (XLM)
In line | Cenkos, 24 Jul
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"Trading is confirmed as being in line with the market's recently revised expectations. There are tentative signs of increasing activity but we are leaving our forecasts unchanged for now. XLMedia's revenue base is diversifying and underlying cash flows remain strong. The recent derating of the equity leaves the stock undervalued against the market, especially on a yield basis..."
Aortech | APC Technology | Braemar Shipping | James Cropper | Deepmatter | ECSC | Escape Hunt | EU Supply | FDM | GetBusy | Location Sciences | Private & Commercial Finance | Synectics | Tricorn | Warpaint
“Summertime and the livin’ ain’t easy” | Stockdale, 24 Jul
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"Despite the onset of the summer holidays, there is little cheer for smaller companies currently. As Table 1 shows, the major indices have outperformed the smaller ones over the last month. An unhelpful combination of impasse over Brexit, the impact of increasing trade tariffs on the global economy and a more uncertain outlook for companies have contributed to the range bound performance. That said, we continue to see new companies list, secondary fundraisings and corporate M&A activity. In Share News & Views, we comment on AorTech*, Escape Hunt*, FDM Group* and Synectics*..."
Keywords Studios (KWS)
Investing in higher value-added services | Edison, 24 Jul
Free Access
"Keywords has taken a step into the games analytics market with the acquisition of Yokozuna Data (YD) for $1.5m. This follows the recent engineering acquisition of Snowed In (for C$4.5m) and the establishment of Keywords Ventures. We do not expect these developments to have a material effect on our forecasts in the near term, but they do highlight the company’s investment in building higher value-added, IP-based business lines. Given Keyword’s strong coverage of the gaming supply chain, we believe the business is well placed to gain leverage from these investments..."
Kape Technologies (KAPE)
Intego deal adds Mac and anti-malware capability | Edison, 24 Jul
Free Access
"Kape’s acquisition of Intego for $16m looks a good fit. It broadens Kape’s portfolio by adding anti-malware software and significantly strengthening its Mac offering. We see good scope for sales synergies through cross-selling and leveraging Kape’s customer acquisition platform. The deal boosts our FY18 and FY19 EPS by 2% and 9% respectively, while synergies should strengthen beyond our forecast period..."
Kape Technologies (KAPE)
Acquisition in malware protection market | Progressive, 25 Jul
Free Access
"Kape has announced the acquisition of Intego, a malware protection and cybersecurity SaaS solution, for U$16 million in cash. Intego is focused on the provision of malware protection, firewall, anti-spam, backup, data protection and parental controls software for Mac. The deal fits directly into Kape’s acquisition strategy of accelerating its growth in the cybersecurity market. It provides the Group with the opportunity to realise synergy benefits through additional sales, a lower cost structure and the application of Kape’s skill in efficient online user acquisition to Intego’s products. In paying 11.4x..."
SRT Marine Systems (SRT)
Riding some stormy waters | finnCap, 23 Jul
Paid Access
"FY 2018 has been a challenging year for SRT, as group revenue fell to £5.3m (2017: £11.5m), leading to an adj. LBT of £4.0m (2017: adj. PBT £1.5m). Both divisions underperformed against last year; the Transceivers business suffered a 12% fall in revenue due to new product shortages (now corrected) but the Systems division generated revenue of just £0.3m (2017: £5.3m)..."
Staffline Group (STAF)
H1 a little weak, but estimates increased due to acquisitions | Liberum, 25 Jul
Paid Access
"H1 18 results a little lower than expected due to higher H2 weighting but no trading exceptionals. FY 2018 FD EPS increased by 1% due to tax and despite the JSOP but expect £5m trading exceptional charge..."
Bioquell (BQE)
Strong interims drive full year upgrades | N+1 Singer, 24 Jul
Paid Access
"Bioquell has reported a strong set of interim results, with reported revenues +9% to £15.7m. Excluding Defence sales and the disposed-of Airflow business, like-for-like revenues increased by 15% on a constant currency basis. In light of the strong H1 showing and positive commentary over the outlook, we upgrade our EPS forecasts by..."
Joules Group (JOUL)
Balanced progress delivering double-digit compounding growth | Liberum 25 Jul
Paid Access
"Joules prelims for the year ending May 2018 are outstanding. The company has been able to meet expectations across all lines having upgraded EPS forecasts some 19.2% from a year ago..."
