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Ideal Shopping Direct

January 2009

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:
  • IDS
  • Price:
  • 36p
Having been relieved of their board positions a couple of years ago, Ideal Shopping’s founders, Paul Wright and Val Kaye, have signalled a possible boardroom coup by lifting their combined holding from 21% to 29.4%.  The move followed an initial fall in the share price during the month after Ideal Shopping put out another disappointing update. Sales for the six weeks to 7 December slowed -17% versus -10% in the previous seven weeks and +2.6% in H1. The gross margin has also reduced as product mix has changed and broker Oriel is now expecting Ideal to report a loss of £4m for FY08. In response, Ideal has reduced its headcount by 15% at a cost of £0.4m. This will result in annual cost savings of £1.5m. The company has also ...

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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.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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