Bloomsbury Publishing - making a very good read
It just goes to show that the market does not always get it right and so often overlooks the obvious.
Was it not obvious that if shoppers could not go out to the shops during the ‘lockdown’ then they were instead going to use their online ordering abilities?
Suddenly digital retailing exploded. That not only went for groceries and fashion but also for buying books.
Nigel Newton, boss of Bloomsbury Publishing (LON:BMY)
reported that his £185m book publishing business made a record breaking first half performance to end August this year.
Year-on-year profits growth was up 60% to £4m and far exceeded its own management expectations.
The first half saw cash grow to a super £44.1m (£20.1m) net due to the good trading.
The group’s shares, which were down to 191p just three weeks ago, shot up in price on the ‘surprise’ interims from 210p on Monday night to 257p on the results announcement. They now rest at around the 250p level.
Analyst Malcolm Morgan at brokers Peel Hunt rates the shares as a ‘buy’ and looks for 265p.
(Profile 28.02.19 @ 231p set a Target Price of 257p*)
(Profile 27.03.19 @ 238p set a Target Price of 270p*)