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Character - Charles Stanley set share price target of 110p after £1.5m upgrade to forecast

February 2010

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:
  • CCT
  • Price:
  • 103p
Shares in our new year NAP went to a new high after a positive AGM, new toy announcements and the initiation of a share buyback programme for up to 25% of the stock for cancellation. At the AGM Character said that as a result of improvements to its product line up and the focus on brands, it expects a significant  turnaround in pretax profit for the first half of FY2010. Despite an 8.5% fall in the toy market during calendar 2009, Character saw sales increase 1.2% in the first four months of the year - so has clearly been taking market share. Even better, normal margin sales during the period increased by 18% whilst loss-making and clearance sales reduced by 40% compared to last year when Woolworths had a significant impact.& ...

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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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