Secondary Recommendation

Safecharge - Online payment processor trading ahead of expectations

August 2014

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.

Following our success with online payments processor, Optimal Payments, which has risen from our original 256p tip to the current 420p, we believe that subscribers should look at its smaller rival, Safecharge, which was introduced to AIM at 162p by Shore Capital, in a placing that raised Â£72m for the company. Investors noted its excellent track record in which pretax profit increased from US$6.6m in 2012 to US$10.8m last year, while in the three years to 2016 Shore is forecasting pretax profit to rise a further 178% and eps to increase 324% to US$30m and 17.4 cents respectively. Since those punchy forecasts were made the company announced that it expects results for 2014 to be â€œahead of market expectationsâ€ and the shares have run up ...

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

Subscribe now

Already a subscriber? Login

B&M European Retail - Fast-growing discount retailer comes to market

Topps Tiles - Like-for-like sales up 6.3%

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