I see that shares in CMS (Communisis) have been hammered today. Shares are down 11.5% to 36.5p. No news has been issued today, and I’m not aware that any are due imminently. Their services include “brand strategies by utilizing creative, data analytic and digital marketing skills to devise and implement marketing campaigns that captivate and engage customers.”
In other words, garbage. Nowadays I am keen to avoid these kind of consumer rip-off outfits. I’m guessing that CMS is mostly a service-oriented business, so it is disappointing to see that its average ROCE according to Stockopedia is 2.3%. The company has a fair amount of debt, too.
The chart is in downtrend since the beginning of 2014, too.
Not one for me, I’m afraid, even though it is on a PE of 6.5. The market is really punishing the weaklings at the moment.