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The best stocks to buy since 1993

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GB Group

July 2023

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:
  • GBG
  • Price:
  • 229p
Latest full year results were no worse than had been flagged. Whilst verifying cryptocurrency customers saw reduced volumes (down from £20m in FY22 to c. £5m in FY23). As it was sales were +15% to £278.8m (organic 3.7%). Pretax profit was down 6% to £53.4m. Eps were 16.4p, down from FY22’s 20.2p. Adjusted EBIT was £59.8m, a 21.5% margin. Things are therefore no worse than had been said in February and based on current forecasts of eps of 15.2p this year to end March and 17.9p next, GB’s prospective PE is now just 15.1 against an average in the past 10 years of 31x. Net debt stands at £105.9m for a net debt/EBITDA ratio of 1.7x in FY23 but with high levels of repeat income/strong customer retention it is expected to drop to c. 1.25 ...

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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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