Edison Issues Update on RNK
Rank's shares have fallen from a 2016 peak of 295.5p (on 8 January) weighed by concerns over UK consumer spending, disappointment over Mecca's digital migration issues and uncertainty around the William Hill situation. However, the rating now looks too low, with annualised 2016e EV/EBITDA only 6.9x versus 11.9x for the peer group, suggesting good upside potential. We are hopeful of a positive Q117 IMS in mid October, which would be a positive catalystAbout Edison: Edison is an international equity research firm with a team of over 110 analysts, investment and roadshow professionals and works with both large and smaller capitalised companies, blue chip institutional investors, wealth managers, private equity and corporate finance houses to support their capital markets activity. Edison provides services to more than 420 retained corporate and investor clients from offices in London, New York, Frankfurt, Sydney and Wellington. Edison is authorised and regulated by the Financial Conduct Authority.