As per the January 19th 2016 announcement the Company is expected to confirm today the completion of the acquisition of GlobalData, the disposal of certain assets and change of name to GlobalData plc (Mnemonic: DATA). In addition the new management structure is also expected to take effect. These transactions result in an improved focus on three data verticals (Health, ICT and Consumer) with higher quality earnings and should enhance shareholder value. Many stocks have been impacted by equity market weakness, but we feel the growth story is very strong (3 year EPS CAGR is 28%) and investors should take advantage to buy a stock that has delivered good growth and has exceptional prospects. We estimate an intrinsic value of 330p based on FY16. This should rise to 461p over the forecast period implying a very attractive investment return opportunity. We see further potential after this period as margins rise. Please see our note (“focus on GlobalData) dated 23 December 2015 for more information about the transactions and management change.
