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XL Media

February 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:
  • 56.75p
Ahead of reporting results in March, XLMedia has said trading for 2014 was ahead of expectations. In the light of the news Cenkos has upgraded to US$14.7m pretax profit (eps 6.6 cents) with US$20.2m (eps 8.9 cents) this year. Q4 performance is stated to be 70% ahead of Q4 last year.Old timers will recall that XLM is picking up traffic from three main sources – its own websites, media buying (eg. on Facebook) and also using an affiliate programme. The recent outperformance is coming from media buying – so much so that media buying has ballooned to 50% of sales – and much as we had suggested in our original write up in April 2014, this is proving to be growth at “warp speed” as this month’s upgrade ...

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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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