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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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The Restaurant Group

November 2015

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:
  • RTN
  • Price:
  • 692p
As with most leisure / retail firms, shares in  Restaurant Group, the owner of Frankie & Bennys, Chiquito and Garfunkels, have endured a soggy patch following the shock hike that was unveiled in the budget in the national minimum wage to £7.20 next April, rising to around £9 by 2020. The group has been fairly sanguine and “whilst mindful of the cost implications is actively taking steps to mitigate the impact through continued focus on operational efficiencies.”Latest interims showed revenues rising 8% to £334m and pretax profit increasing 10% to £36.9m. Sales growth benefited from 12 new openings while like-for-like sales grew 2.5%. Operating profit margins rose 0.1% with those efficien ...

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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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