M&C held a very positive meeting highlighting the strong entrepreneurial culture and success of dynamic units that stand profitably on their own two feet. M&C is able to differentiate itself from the large global agencies who are struggling to grow at present. Their targeted approach to offices, lower exposure to FMCG/broad sector diversification and minimal exposure to traditional media buying is proving itself. The growth dynamics of the services they offer was on show with Mobile, Talent and Sports & Entertainment units explaining their positioning and attractive dynamics. M&C has continued to deliver over the long term; it weathered the credit crisis and has gone on to outperform the market. The shares look good value and we see 400p as the next objective. Quality and consistency remain highly attractive traits. M&C is on the path to becoming a rare beast, a mid-cap agency. BUY.
