Adventis is a "buy" at 54p at up to 60p, with a 12 month target price of 89.5p.

according to tom Winifrith.......expect some exposure in the coming week then

looks like carrying on from friday heading towards 70p short term to test this years highs IMHO

Buy Adventis at 56.25p from todays UK analyst..

A tip from Tom Winnifrith of t1ps.com
AIM traded Adventis (ATG) is an interesting company. It is arguably the best run publicly quoted marketing and public communications business, boasting the best margins in its space. With a balance sheet that boasts cash of around 3.5 million, the business ticks a great many boxes. Revenue and profits growth, decent management, cash and a dividend to boot, all adds up to make this stock a buy at 56.25p and at up to 60p with an initial one-year target price of 89.5p.

The crack

Adventis Group is a provider of a complete range of communications services, including corporate identity programmes, advertising campaigns, media and planning and buying, literature, public relations, packaging, exhibitions, research and planning, interiors signage and digital media. Currently, Adventis' services are split into three core divisions focusing on providing a range of services to the property, healthcare and financial sectors.

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The group's strategy is to focus its marketing and media buying services on the property, healthcare and financial services sectors, in which it has the opportunity to build significant market positions. There are three main strands to Adventis' strategy to develop the business. Consolidation of its position in the residential and commercial property markets, which are predominantly serviced by a large number of small operators; Diversification into other specific sectors, notably healthcare and financial services, for which marketing is governed by regulatory disclosure and which therefore, like the property sector, have a requirement for expertise; Increase profit margins by providing services that are currently sub-contracted to third parties. To date, the group has been delivering on these objectives via a mix of organic development, acquisitions and by creating structures to attract new senior people with proven revenue earning ability and appropriate sector expertise.

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I met the CEO Charles Phillpot recently on Trading Places and we have talked since. He knows exactly what he is doing. He is a big plus point.

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Financials

For the last full year to 31st December, the company delivered record levels of billings and profits, both organically across all of its businesses and through acquisitions. Group billings of 35.5m were up 62%, with gross profits of 8.5m up 47%, as pre-tax profits came in at 1.8m, up 75%. This represents the third successive year of significantly increased billings and profits. Earnings per share for 2006, including acquisitions were 3.76p, up 41% from 2005, funding a total dividend of 0.681p. Encouragingly, the company increased both market share and margins (margins currently stand at over 20% - the highest of its industry). One of the reasons for those high margins is that Adventis shuns plush London offices, working from the South East but on the edge of the Capital - M25 Land

For the current year, pre-tax profits should be up 2.75 million, equating to earnings of 4.75p per share. For next year, I expect 3.4 million and 5.3p respectively. Net cash is around 3.5 million, equating to 10p per share.

Conclusion

The shares in this growth media and public relations business currently trade on a prospective multiple of 11.8, falling to 10.6. Earnings will be up to least 6p within a couple of years, but there's no need to look that far ahead just yet. A business that will grow earnings by 26% this year and 11% next year, should attract a multiple of 15. And so, by the close of this year, the market will be looking at 2008's prospects. 15 times next year's earnings gives us a starting point of 79.5p, plus the 10p per share in cash, gives us an initial target price of 89.5p. Let's not forget that we will also get a dividend of at least 0.7p per year, so there is also a 1.4% yield and so Adventis is a "buy" at 56.25p at up to 60p, with a 12 month target price of 89.5p.


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results due next week i think ???

results out monday just been confirmed