Good morning!

Yesterday's report was late. Here is the link to it - covering 7 companies, to get you started today.

I'll have a quick whizz through today's results & trading updates now. Then I'm off for later today for a week abroad. So Graham will be (hopefully!) covering tomorrow's news. Then, subject to jetlag, it might be a joint effort on Friday. I'm taking my laptop with me, so it's more a question of doing the markets somewhere else, rather than a proper holiday!



Keywords Studios (LON:KWS)

Share price: 609p (up 2.9% today - so far)
No. shares: 54.4m
Market cap: £331.3m

Trading update - for the full year, calendar 2016.

This group describes itself as;

the international technical services provider to the global video games industry

This update reads very well. Figures are given too, which is always helpful. Revenues of E96.6m, and adjusted profit before tax of E14.8m are said to be;

...comfortably ahead of consensus market expectations.  This performance has been driven by strong like-for-like growth, due to the continued growth of the established business as well as the contribution of the eight acquisitions completed during the year.

Eight acquisitions in a year - that is very aggressive expansion, and could possibly carry some risk of over-stretching management? Although the total cash outlay of E20.7m suggests that they are smallish bolt-on acquisitions.

Outlook comments are fairly generic, but sound alright;

Although it's early in 2017, we are therefore confident of making continued progress in the year ahead."

My opinion - the shares have done fantastically well, tripling in price in the last year, so I'm sure the company has a lot of very happy shareholders.

The shares look richly-priced, but performance to date seems to justify that. Also, note that broker forecasts have been steadily rising, so it looks like one of these growth companies which is growing into its high valuation.

I don't really understand its business model, or how to value it, so it's not something I would be interested in. Well done to holders though, so far, so good!

As with all highly rated shares though, if the company does put a foot wrong, then the price would lurch sharply lower. Big ratings don't leave room for disappointment. It's always worth keeping that in the back of one's mind, I find.



Dillistone (LON:DSG)

Share price: 93.8p (down…

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