The Week Ahead: ASOS, Amino, Burberry

Monday 11 July

Monday sees first-half results from Amino Technologies, the old Cambridge-based pioneer of television sets linked to the internet. These days it sells its software and hardware to help global broadband network providers deliver digital programming and interactive content.

Ahead of Monday's more detailed results, June's robust trading update pointed to a revenue and profit performance in line with expectations, with strong cash flow generating a cash pile of £3.1 million at the end of the period - even after forking out £3 million in dividends and over £1 million in deferred payments.

"The first half included both strong performance and record order intake leading to a backlog and giving confidence of continuing growth into second half of 2016," explains analyst Andrew Darley. "With the integration of both Entone and Booxmedia completed, costs savings executed, and revenue growth momentum restored, we look forward to interims on 11 July."

The broker reiterates its price target of 175p, which represents 58% of upside to its current 111p share price.

Trading statements

Frenkel Topping Group, Pinewood Shepperton, RPC

Tuesday 12 July

AIM darling ASOS - the online shopping embodiment of the word "millennial" - releases its third-quarter results on Tuesday. If the company stays true to recent form, they should be a welcome shot in the arm for retail investors who have had little to celebrate post-Brexit.

The brand-driven internet fashion retailer had a rocky 2014, but new strategies, more cash and an ever-increasing push into the mobile market helped sales soar above its £1 billion target last year and made for a very smart set of interims in April.

An "uplifting" capital markets day at the end of June convinced Barclays to reiterate its coveted 'Top Pick' recommendation for the online retailer, despite the Brexit-shaped shadow over the consumer-dependent retail sector. Barclays reckons the shares are worth £48 ahead of next week's results, that's 21% upside!

Barclays didn't pooh-pooh management's blue-sky sales ambitions, either. ASOS reckons it can generate £10 billion from both the UK and Europe by 2020 to 2021, and £700 million in the US.

It's potentially pretty Brexit-resilient too, writes analyst Christodoulos Chaviaras: "60% of ASOS's customers live outside the UK while most of the sourcing is done in sterling. Hence there is an opportunity to capture the sterling weakness and invest in the price abroad which can boost sales growth."

"We deem it as one of the very few UK based consumer names that in the current uncertain environment can be considered a long term investment."

Much to look forward to, then.

Trading statements

Begbies Traynor Group, Jaywing, Michael Page International, Marks & Spencer

AGMs/EGMs

N Brown, Biotech Growth Trust

Wednesday 13 July

Even after recent market dislocation, Burberry remains attractive to the analysts at UBS, which has reiterated its buy rating. Improvements made to retail productivity in May aren't being reflected on the market, with the current share price pricing in a low single digit fall in like-for-like sales in 2017, with growth of just 1% over the medium term.

"This appears to show investors' scepticism on Burberry's execution and we believe the market would welcome a senior appointment to lead the retail excellence programme as well as clarity around the chief operating officer role after the announcement of John Smith's departure," notes analyst Helen Brand.

Ahead of Wednesday's first quarter results, Brand doubts there will be any uptick in like-for-like sales, with revenue expected to fall 5%, even against an easier comparative period. Still, sterling's devaluation since the UK referendum has underpinned an upgrade to profit forecasts, with the measure rising to £419 million for 2017.

Brand reckons the shares are worth 46% more than current levels at £17. Burberry currently trades on 17 times forward earnings.

Trading statements

ICAP, JD Wetherspoon, Barratt Developments, Burberry

AGMs/EGMs

Speedy Hire, e2v technologies, MyCelx Technologies Corporation, Ottoman Fund

Thursday 14 July

Trading statements

Supergroup, Workspace Group, Moneysupermarket.com, Halfords, Ashmore, Experian, Hays

AGMs/EGMs

LondonMetric Property, Griffin Mining, U And I Group Plc (UAI)

Friday 15 July

AGMs/EGMs

DCC

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.