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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Auto Trader - Price target raised to 439p

April 2016

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:
  • AUTO
  • Price:
  • 381p
With UK car sales continuing to hit new records we weren’t too surprised that Auto Trader released a sparkling trading update, noting average revenue per retailer (ARPR) has been ahead of expectations, as has consumer services revenues. With costs well managed, margins have increased and as a result operating profit for the first 10 months will be £169m-£171m, slightly ahead of market expectations.Numis has edged up eps forecasts by 3% to 12.3p for year ending March ’16, with 14.0p now expected for FY’17. Its target price is raised by 20p to 439p.Tipped at 296.5p last July the shares, which hit a high of 455p, are still 29% ahead. 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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