Quixant making its own luck

Gaming brain designer sees forecasts upgraded again

Quixant (QXT:AIM) 327.5p

Gain to date: 14.9% 

Original entry point: Buy at 285p, 20 Oct 2016

 

Operating improvements, synergies from the Densitron deal and a robust underlying gaming operator end market; Quixant (QXT:AIM) has been quick out of the blocks.

GI update QUIXANT 011216

A trading update on 24 November showed particularly strong year-on-year revenue growth and margin performance from its core gaming division. Analysts reckon that full year results to 31 December 2016 will be ‘at least 10% better across the board’ on forecasts issued right after the Densitron acquisition just over a year ago.

FinnCap’s Lorne Daniel has lifted forecasts from sales of $79m and adjusted earnings per share (EPS) of $0.15 to $86m revenue and $0.165 EPS.

We flagged the stock at 285p. We explained that not only was the rating not particularly testing, but that there was a steady flow of possible catalysts for forecast upgrades. So far, so good.

This share will seldom look dirt cheap but could pleasantly surprise shareholders. (SF)

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