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XL Media - Broker draws comparison with MoneySupermarket on 23x eps forecast

December 2015

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:
  • XLM
  • Price:
  • 74p
The shares would have popped 10-15p higher in better markets after XLMedia said that H2 saw further strong growth and it expects to exceed market expectations for the full year. Sharewatch subscribers would have politely yawned as we have expected a “beat” on forecasts for a while. XLM said it reflects strong organic growth of c.20% helped by an outstanding performance in its Publishing side as well as the contribution of recent acquisitions of EDM and Marmar.  In the light of the update, broker Liberum has upgraded by 21% to US$25m pretax whilst its eps forecast rises by 15% to 10.9 cents, which incidentally also incorporates a higher tax charge (consolidation of US profits from EDM plus Marmar). The fo ...

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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.

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