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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Telecom Plus - FTSE-250 tracker funds could push shares towards £10

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:
  • TEP
  • Price:
  • 620p
One startling effect of the deregulation of the energy and telecoms sectors has been a new wave of so-called “virtual†utility operators who resell electricity, gas and mobile communications at a big discount to the established operators. While this may not seem like obvious hunting ground for a growth company Telecom Plus, one of our long-term portfolio constituents, has established a remarkable track record in which its pretax profit has increased from £4m in 2002 to £27.5m in 2011, with the latest year seeing a blow-out 51% improvement. Not surprisingly management are extremely confident and for the first time have boldly announced a new target of doubling their customer base, which according to their financial modelling, should ...

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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.

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

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