By Alexander Bueso
Date: Monday 18 Oct 2021
LONDON (ShareCast) - (Sharecast News) - The Financial Mail on Sunday's Midas column touted the "compelling" long-term prospects for video game developer Frontier Developments.
In particular, the tipster noted Chinese outfit Tencent's 8.6% stake in the firm, which Frontier's boss, David Braben, saw as facilitating access to that country's market.
Yet, said Midas, Tencent's intentions may perhaps go further "or perhaps they will in time".
"For now, however, an imminent takeover seems unlikely. Tencent has its hands full with Sumo Group, while Braben owns 33 per cent of Frontier and has huge ambitions for the business," Midas went on to say.
As well, Frontier's shares had come off recently, after the company revealed teething problems with the sequel to its Elite Dangerous title.
It also announced a later than expected launch of its new Formula 1 management game.
But Midas was optimistic on both counts, arguing that sales of the former "should bounce back over time" while those of the latter should do "extremely well".
That was all on top of the company's rich new pipeline of games for over the next three years.
"Gaming has become a multi-billion pound industry and Frontier Developments is a leader in the field, with international renown and reach," Midas concluded.
"Recent glitches are being fixed, the group still has millions of loyal fans and Braben is committed to success. At £25.00, these shares should rise, with or without Tencent's help."
The Sunday Times's Sabah Meddings told readers to 'buy' shares of Medica Group ahead of an expected rebound in demand for elective operations and scans over the next few months and even years.
Medica supplies teleradiology, which allows radiologists to study images remotely and the likes of the NHS to outsource such services.
Now, the NHS is facing a long list of patients awaiting elective operations and scans and with restrictions being relaxed it simply cannot keep up as its focus shifts away from Covid-19.
According to Meddings, demand for radiologists in the UK was growing at an annual clip of about 5-6%, but there wasn't any spare capacity in the NHS.
Hospitals typically outsourced around a fifth of the cases and that figured had doubled over the past five years, Meddings added.
Even better, Medica has been investing in software and hiring new radiologists, including in Australia, allowing it to operate through the night in the UK.
The company had also teamed up with artificial intelligence outfit Qure.ai to boost efficiency.
And now hospitals were addressing their backlog of elective activity which should lift demand for Medica's services in 2021 and 2022.
Demand should be especially brisk over the summer as NHS radiologists go on vacation.
"Part of the shortage in radiologists is down to the ten years' training required to be a consultant radiologist - of which there are currently about 4,000, although only 3,750 full-time as part-time working has increased.
"So there is a good chance Medica will be in demand in the months ahead. Buy."
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