LET IT BE THUS AND ONLY THUS

From todays Sunday Times:

Sharewatch: Thus
Thus still in touch

THUS: BILL ALLAN, chief executive of the business telecoms carrier, will feel like a new man in the new year after apparently convincing the City that the Glasgow firm’s fortunes are on the mend.

The stock has climbed more than 200% since last January as growing demand for broadband and high-speed data services has allowed the company to reduce its losses and approach operating profit. Allan has also pledged to go after BT’s lucrative base of fixed-line domestic customers.

At Thus’s interims last month, Allan unveiled a 10% increase in sales to just under £160m, a 67% drop in pre-tax losses to £10.2m and promised cashflow positive in the final quarter.

But analysts will believe it when they see it. They’ve been through a stormy love-hate affair with telecoms stocks as the technology boom and economic bust saw IT spending see-saw. Thus reached a peak of almost £8 a share in March 2000 but was relegated to stock-market dog the following year, plunging from 51p to 9p. But Allan is used to the white-knuckle ride. He regularly has a pop at politicians, rivals and red tape and is well able to give as good as he gets.

HSBC, TD Waterhouse and Investec, the house broker, all rate Thus a “buy”.

and me too!!!