23rd September 2013
Stockbrokers are recommending that adventurous investors add computer services group Earthport to their share portfolios writes Philip Scott.
In the last year the FTSE AIM All-Share listed group has seen its share price move between 14.50p to 24.75p and to date it has soared by 50% over 12 months. It is currently trading at 24p and brokers are rating this stock as ‘buy’ according to share site, Digital Look while Sheridan Admans, investment research manager at stockbroker The Share Centre, has added the group to his buy list and has labelled it his ‘share of the week’.
He says: “We have added Earthport to our ‘buy’ list for higher risk growth seeking investors as the company has been turned around since February 2010. A fairly unimpressive management was replaced by ex-Goldman Sachs co-chief operating officer as new Executive Director and a number of senior executive and non-executive board replacements and the company now has a great deal of industry experience in cross-border payments and technology.
Part of the attraction of Eartport according to Admans is that its systems reduces the high costs and delays normally associated with the traditional processes that international payment creates and it allows customers of banks or other financial service providers to send money overseas more securely and with a high level of visibility.
He adds: “Making payments and transferring money is changing, increasing its efficiency and moving digital. Earthport offers a web based settlements platform for cross-border payments for some of the world’s largest financial service companies, such as IBM, Bank of America and American Express.
“We recommend the company as a ‘buy’ for investors as it continues to attract high calibre partners and customers, with a scalable platform that has barriers to entry. Investors will be pleased to hear new legislation in the US is likely to shorten sales timescales where contracts with partners have previously taken 18 months to arrange.”