Updates

Softcat - Exceeding market expectations

August 2018

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.

An unscheduled update from Softcat reported a stronger than expected May and June and it now expects FY18 profits to be “materially ahead of expectations.” Jefferies has increased its eps forecast by 10% to 28.3p. That means eps will grow by 34% this year - the strongest year since 2012 - as market conditions remain buoyant and Softcat continues to benefit from hiring technical specialists and broadening its service and product categories.Berenberg says Softcat is running with an 80% drop through margin on incremental gross profit and has upgraded eps by 20% to 27.8p for the year ended July with 29.5p this year. It’s expected to announce a special dividend in October. The shares have risen faster than the weeds I& ...

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Solid State

Midwich

Softcat - Benefits as customers accelerate buying decisions for IT (May 2020)

Softcat - 56 quarters of consecutive organic growth (December 2019)

Softcat (November 2018)

Softcat - Gain since write up: 174% (June 2018)

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Softcat (November 2017)

Softcat - Strong start to second half (April 2017)

Softcat - 14.2p special dividend (November 2016)

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Softcat (April 2016)

Softcat - 40 consecutive quarters of growth and a tidal wave of cashflow (December 2015)

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.

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