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Fonix

April 2022

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.

  • Epic Code:
  • FNX
  • Price:
  • 152.5p
Fonix’s H1 results were as good as could be expected with record levels of business in November and December. As I said last month the most important metric is gross profit which was +20% to £7m, driven by +18% from its core mobile payments business and +43% from mobile messaging. Firm management of its cost base has enabled its gross profit growth to translate to EBITDA growth of 20% to £5.2m/eps of 4.4p so against the  FY22 forecasts of £9.6m/7.6p, the company looks well set for a “beat.” Keep on buy list. ...

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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

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