image

Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

Latest issue now available

Optimal Payments

January 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.

  • Epic Code:
  • OPAY
  • Price:
  • 330p
Broker Berenberg is the latest to take a shine to Optimal, initiating with a bumper 452p price target. Its forecasts are for eps of 23 cents this year, 25 cents next and 34 cents in 2015 - a whopping 34% above consensus. Berenberg believes consensus forecasts are not modelling two growth drivers including the potential increase in revenues on deregulation of the online gaming market in the US (remember divisional gross margins are a massive 83%). The second factor that's been overlooked is Optimal's acquisition of “Principal membership†of Visa and Mastercard, which will allow it to offer merchant-acquiring services directly without the need for an acquiring partner.Berenberg notes that if the shares hit 452p they would ...

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

Subscribe now

Already a subscriber? Login

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