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Keystone Law

November 2018

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:
  • KEYS
  • Price:
  • 342p
As I said in July, Keystone’s best proxy for growth is the number of new lawyers that are joining its network. Sending the shares higher were the latest H1 results, which showed there were 31 new joiners during the period, giving Keystone 297 lawyers at the end of June. This recruitment was ahead of expectations.As it was, for the period Keystone recorded sales up a third at £19.9m and adjusted profit was up by 40% to £2.3m for eps of 6p. As more lawyers signed up expenses didn’t scale in line with this and EBITDA margins expanded to 11.75% from the 10.3% reported in FY18. Panmure has upgraded its eps forecast to 11.3p for the current year and 12.8p next. Strong hold. ...

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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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