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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Carphone Warehouse - Gain since tip: 104%

July 2011

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:
  • CPW
  • Price:
  • 389p
Carphone Warehouse's (CPW) results were at the top end of guidance, with operating profit rising 67% to £63.3m and eps increasing 80% to 15p. A superb performance. Within CPW Europe, its 50/50 joint venture with US retail giant Best Buy, its legacy European stores achieved 18% growth in operating profit, thanks to an increase in penetration of smartphones, which currently account for 80-90% of all new handsets sold in the UK. Its “wireless world†format stores, which have a wider range of products and services, also fared well, helped by an expanding array of “tablet devices†and having converted 106 existing stores to the wireless world format, management intend to convert another 250-300 by the end of this year and most o ...

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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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