Updates

Carter & Carter - Eps enhancing acquisition on 6.5x profit

March 2006

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.

Carter & Carter has bought Fern Group, a leading provider of basic skills training designed to help long-term unemployed and disabled people find work. In addition, it also takes Carter&Carter into work-based learning in the construction, health and care sectors with blue chip customers including Carillion and Compass. In the year to 31 May, Fern is expected to report an operating profit (before remuneration paid to the vendor) of £2.1m. Adjusting for £1.8m cash in the business, Carter & Carter is paying £13.8m (mostly in debt). On 6.5x operating profit, the deal is eps enhancing from day one. Our January article contained an error in the forecasts - they were too low! Our correction has ...

To access our archive of articles and to receive current issues you need to subscribe.

Subscribe now

Already a subscriber? Login

SMC - Results in April shouldn't disappoint

XKO - Comfortable with forecasts

Carter & Carter - Buys two vocational learning businesses (June 2007)

Carter & Carter (May 2007)

Carter & Carter - Exploring college outsourcing deals (March 2007)

Carter & Carter (January 2007)

Carter & Carter - Our best performing NAP tip this year (November 2006)

Carter & Carter - Look set to break higher (September 2006)

Carter & Carter - Eps enhancing acquisition (June 2006)

Carter & Carter - Acquisitions should push shares higher (May 2006)

Carter & Carter - Aquisitions planned to grow presence in government funded training market (January 2006)

Carter & Carter - Squarely in market for work based training (December 2005)

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