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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Ultimate Leisure - Jewel in struggling section

August 2004

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

With a track record of nearly quadrupling its pretax profit to £6.8mand increasing earnings by 115% to 26.9p in the four full years since flotation, bars and nightclubs group, Ultimate Leisure, shines out in asector otherwise dogged by  over-capacity issues.   Ultimate's cause is also helped by strong asset backing with a high proportion of freeholds and little debt, in total contrast to the many high street leasehold based operators who have withered on the vine as the going has got tougher.    Ultimate Leisure was founded in 1997 and has successfully pursued a strategy of purchasing under-developed sites, to which it adds value through improving management controls and introducing better buying an ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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