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Authoritative Independent Monthly Share Selections Using Technical & Fundamental Analysis

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Cake Box - Strong pipeline of new opening

December 2021

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.

  • Epic Code:
  • CBOX
  • Price:
  • 402p
There are some rare “defensive” companies capable of generating consistent double digit growth in all stages of an economic cycle and Cake Box, a franchise retailer of egg-free fresh cream cakes, is one such example. Latest half-year results for the six months ended September confirmed a remarkable 122% increase in pretax profit (all organic) and if brokers are correct it will post full year pretax profit of £6.9m (eps: 13.0p) in FY’22, up nearly 6-fold from just £1.2m in 2016. In FY’23 and ‘24, eps is forecast to hit 16p and 18p, respectively.The company was born in the early stages of the Global Financial Crisis in 2008 as a single shop in East London by CEO Sukh Chamdal, an experienced o ...

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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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