Primary Recommendation

RCG Holdings - Middle East boom underpins growth plans

February 2008

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.

The recent growth at Hong Kong-based RCG Holdings, an AIM-listedcompany founded in 1999 to develop biometric security applications andRFID solutions, is incredible. The company has grown turnover from Â£3min 2005 to an expected Â£87m last year. As dazzling as this growthalready appears, the fact is that the technology is only just startingto move into the mainstream.The group will report its 2007 results later this month and thesewill show profits of at least Â£27.2m (eps 11.9p), against expectationsthis time last year that it would report Â£17.9m (eps 8.4p). Theoutperformance in earnings is all the more surprising given lastAprilâ€™s placing, which raised Â£33.3m at 131p, and which has had littledilutive effect. This is partly do ...

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Market Comment - Feb '08

Topps Tiles - Low fixed cost base

RCG Holdings (January 2011)

RCG Holdings (May 2010)

RCG Holdings (February 2010)

RCG Holdings - Prospective PE barely 3 despite share price rise (November 2009)

RCG Holdings (April 2009)

RCG Holdings (February 2009)

RCG Holdings - Eps forecast of 17.3 (September 2008)

RCG Holdings (June 2008)

RCG Holdings - Multiple contract wins (April 2008)

RCG Holdings (March 2008)

RCG Holdings (January 2008)

RCG Holdings - H1 significantly ahead of expectations (August 2007)

RC Group - Record results (April 2007)

RC Group - Results to exceed forecast (March 2007)

RC Group - Gain since August tip: 139% (February 2007)

RC Group (November 2006)

RC Group - Forecasts upgraded (October 2006)

RC Group - Mainland China distribution deal (September 2006)

RC Group - Boimetric / RFID specialist (August 2006)

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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