I just bought more shares today in Character following a 5% dip in the share price. I have just read a very interesting article on SEEKING ALPHA which was posted there on 20/01/2015. It's well worth a read, and is basically saying that the Teletubbies global license which it has bought has great potential, the shares are strongly undervalued and have the potential to be a multi-bagger.
I'm calculating EPS some way ahead of the figures on Stockopedia which are 40p for FY15 (31/08) and 41.9p for FY16. They have the momentum of Peppa Pig (ask any younger girl!) in UK and quite a few other good licences. Like-for-like sales in the first part of their current FY are up, I believe, 28%. In addition, the management team is first class, very experienced and has been together for quite some time, besides having substantial stakes in the business. The momentum from the worldwide Teletubbies licence will kick in from 2016 (note that this licence is for plastic and plush toys, not electronic toys which is held by a different licencee). Imo, this is a sound investment with the potential for substantial share price gains.
All IMHO, DYOR.
