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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Synergy Healthcare

July 2006

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:
  • SYR
  • Price:
  • 541p
A strong set of final results helped shares in Synergy Healthcare soar to a new high of 541p. For the year ended 31 March, pretax profit increased 22% to £10.3m on turnover up 63% at £117m, while stripping out acquisitions the underlying sales growth was 24%. Encouragingly, its order book increased 17% to £600m, representing four times annual turnover. Earnings rose 20% to 24.2p. In the UK, Synergy’s linen management business, Healthtex, grew underlying sales by 17% aided by the start of new contracts, together with modest price rises, while the strong outsourcing trend has helped it increase its market share to around 15%. New capacity has also come on stream from the recent opening of its fourth linen fac ...

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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.

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