Print Published 14th Aug 2018, 07:57

Sector share prices: 12 August 2018

Strong price improvements by a small number of marketing companies’ shares more than offset a generally declining sector performance in the month to 12 August.

As a result, the sector’s MSFI Index rose by 3.4%, despite the fact that 68% of publicly listed companies in the sector actually lost value in the month. The reason for the seemingly idiosyncratic rise in the MSFI Index is that the price rises arose mainly among companies whose share values had already grown faster than others and so any further increase had a significantly larger impact.

In the same period the FTSE All-Share Index remained almost unchanged.

The best performing shares were those of dotDigital Group (up 24.8% after announcing 35% revenue growth – see dotDigital reports 35% revenue growth and £15m cash pile), Next Fifteen Communications Group (up 11.7% in the month and 26% over the past year, after its February prediction that it expected “further good progress in the year ahead”) and Zinc Media (up 5.1%).

Kape Technologies (formerly Crossrider) saw its share value increase by 12.1% after divesting its interests in the media and marketing sector and thereby ceasing to be featured among the publicly listed marketing companies that we monitor.

The poorer performing shares in the month were those of Be Heard Group (down 52.7% after announcing a cost-cutting exercise – see Be Heard’s revenue growth unlikely to be reflected in much profit), Porta Communications (down 27.1% also after also reporting a cost-cutting exercise as well as debt refinancing negotiations – see Porta Communications in refinancing talks: £2.9m costs removed), Ebiquity (down 23.7%  after issuing a profit warning and suffering delays in selling part of its business – see Ebiquity issues profit warning, blaming competition probe) and the Italian group SEC that has a stake in Porta (down 17.4%).