Eckoh Plc (LON:ECK) (ECK, 5.38p, £10.73m) has achieved certification of full compliance with the Payment Card Industry Data Security Standard (PCI DSS), a set of comprehensive requirements for enhancing account data security. The group can now offer solutions to process credit and debit card payments made over the telephone and web. This service helps mitigate the risk for Eckoh's clients by reducing or eliminating the handling of card data by contact centre agents. In addition, by providing a compliant service, Eckoh helps to satisfy its clients' PCI DSS requirements in a cost effective and efficient manner. We believe the certification will enable to group to enhance sales of card payment solutions and attract new customers. We continue to believe the stock is undervalued trading on a 7.7x 2012 earnings, given the strong balance sheet. We reiterate our BUY recommendation and our target price of 7.2p.  

Global Brands (GBR, 2.88p, £3.18m) Revenues in Q3 to 30 September have continued to strengthen, with l-f-l sales up an impressive 26.6% against the previous year. For the 9m to September, l-f-l sales are up 19%. The correction of the overblown pricing structure and a move to outsourced logistics are reflected in the improvement in losses to CHF 425k in Q3 2010 (Q2 2010: CHF 583k). The group is moving closer to becoming cash generative, with losses for the month in September 2010 reducing to CHF 97k (February 2010: CHF 197k).  We remind investors the group will require additional funding to implement their sub-franchising strategy for Dominoes Pizza and Yo-Sushi.  Until the funding route and potential dilution is clear, we reiterate our HOLD recommendation.

Unlock the rest of this article with a 14 day trial

Unlock with Email
Unlock with Google

Already have an account?
Login here