Accident management, vehicle fleet and legal services company Redde (LSE: REDD) is todays small-cap winner. Shares in the company jumped more than 5% in early deals after the firm issued an upbeat trading statement for the first six months of its financial year.
Redde is planning to publish its officialresults for the six months to December 31 at the end of February 2017 sildenafil 20 mg price but based on trading to date, the group is expecting to report solid year-on-year sales growth. Organic growth and its acquisition of fleet accident management company FM (acquired during October 2015) have both helped to drive sales growth. Management is so confident about the companys outlook, the boarddecided to announce today that it expects to declare an interim dividend of not less than 4.9p per share, an 8.9% increase on its interim dividend in the prior financial year of 4.5p.
For the financial year ending 30 June 2017, City analysts are expectingRedde to report year-on-year earnings per share growth of 2%. However, based on todays update City forecasts could be revised higher as the company now looks set to exceed expectations.
That said, even if Reddedoes exceed City expectations for growth this year, the companys shares already look fully valued. Shares in the company are trading at a forward P/E of 16.2, so earnings growth of 16% per annum or more is needed to make the shares look cheap. Still, after todays dividend hike Reddes shares support a highly attractive dividend yield of 6.6%.
Overall, for income seekers who are not too bothered about Reddesvaluation, the company could be an attractive buy.
As Redderises, shares 100mg viagra how long does it last in https://viagraonline-canadapharmacyrx.com/ Impellam (LSE: IPEL) are sliding today after the company announced it expectsearnings for 2016 will broadly meet market expectations despite disruptions suffered in the UK healthcare market.
It seems as if the market is concerned about Impellams use of language here. Will broadly meet is hardly the most inspiring statement and implies earnings will actually come in lower than expectations for the full year. If earnings were on track to meet full-year targets, the press release would have most likely used different terminology.
Still, City analysts have pencilled-in earnings per share growth of 14% for Impellam this year, but the market is making it clear it doesnt believe the company can hit this target. Indeed, shares in Redde trade at a discounted seven times forward earnings, a low multiple for a firm expected to report 14% earningsgrowth this year and 8% earnings growth for 2017. Put simply, it looks as if the market isnt expecting fireworks from the company anytime soon.
However, if youre looking for a cheap stock thats been neglected by the market, Impellammay be for you.
Like many of its recruiter peers, Impellam has fallen out of favour with the market due to concerns about the companys growth outlook after Brexit. If you believe the group has what it take to weather the storm, sildenafilcitrate-100mg-rx.com the shares might offer value.
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