Updates

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.

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 â€œPrincipal membershipâ€ 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 ...

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Perform

Energy Assets - Shares head towards Â£4

Optimal Payments - Skrill ahead of forecast (October 2015)

Optimal Payments (September 2015)

Optimal Payments (August 2015)

Optimal Payments - Shares soar after acquisition of Skrill (May 2015)

Optimal Payments - Shares dirt cheap on 2016 prospective PE of 9.5 (February 2015)

Optimal Payments - 11% eps upgrade (November 2014)

Optimal Payments - Two eps enhancing acquisitions (August 2014)

Optimal Payments - Trading marginally ahead of expectations (July 2014)

Optimal Payments - CEO buys 80,000 shares (May 2014)

Optimal Payments - Share placing oversubscribed (March 2014)

Optimal Payments - New Jersey set to legalise online gambling (December 2013)

Optimal Payments - Online payments processor riding growth of e-commerce (November 2013)

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.

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