Updates

Maxima

April 2009

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Maxima has issued a trading update that said although Q3 was in line with expectations, it experienced difficult trading in Q4 with a number of orders deferred. The main areas of weakness are managed services where Maxima is not seeing the level of add-on work it would expect from existing clients and also third party software sales, including SAP and Microsoft-AX. As a result, Charles Stanley has reduced its pretax forecast for the year to 31 May by 20% to Â£6.8m, for eps of 19.7p. That compares to Â£8.8m and 25.7p last year. Debt of c.Â£16m is comfortably within banking covenants and with a high level of recurring business (55% of sales), the business is clearly not a basket case, which the share price is suggesting. Nevertheless, it w ...

To access our archive of articles and to receive current issues you need to subscribe.

Subscribe now

Already a subscriber? Login

Renew Holdings

Glisten

Maxima (January 2010)

Maxima (November 2009)

Maxima (October 2009)

Maxima (October 2008)

Maxima - Sitting duck to a predator on a PE of 6.6 (September 2008)

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X