Hier zijn de eerste analisten die hun verkeerde adviezen bijstellen. Er zullen er nog meer volgen! STOCKWATCH CMG rebounds after cautiously upbeat outlook - UPDATE 29 augustus 2001 LONDON LONDON (AFX-NL) - (Adds details of ABN Amro upgrade and analyst's commentary on Amsterdam conference) Shares in CMG PLC rebounded 13 pct after the Anglo-Dutch IT services firm posted half-year profits slightly better than market expectations and remained cautiously upbeat on its outlook. Ahead of today's results the stock had been weak on fears that the continued slump in IT spending would lead the company into issuing an opaque profits warning. But CMG said today it has seen no significant slowdown in its key UK and Benelux territories said it saw signs of improvement emerging in its Wireless Data Solutions (WDS) unit, which supplies messaging systems for telecoms operators. It also assured that its information technology (ICT) division has not experienced contract deferrals "to any significant degree" in its key territories and sectors. Some brokers were encouraged -- ABN Amro moved its stance up to 'buy' from a former 'hold', while Teather & Greenwood moved its stance to 'hold' from 'reduce'. ABN Amro said the group's IT service business appears to be showing no real signs of a slowdown, with impressive Benelux top line growth and margins, strong growth in managed services and an improvement in demand at WDS. This led it to see the stock as oversold, with revised forecasts suggesting a price range of 296-355 pence. However, broker cut forecasts downwards by 23 pct at the pretax level for 2001 and 2002, having previously been at the top of the recently reduced forecast range. CMG's gains were also supported by a positive response to today's analysts' briefing in Amsterdam, where the group outlined plans to cut 20 mln stg annually out of its WDS division. Other bull points to emerge at the meeting included a reported trebling in Asian revenues which are seen reducing the group's damaging reliance on EU business, and a gaining of market share in its core Benelux market. According to one attendee, the strength in core operations "underlines the attraction of dominant domestic player in tough times". Some also saw more confidence in the outlook for the full-year, after the order book was said to be 50 mln stg against half-yearly sales of 57 mln. However, the majority of analysts remained cautious given the industry's lack of visibility. WDS in particular remained a worry, as this is the group's primary growth driver and remains vulnerable to contract cancellations from telecoms operators. "They're a decent set of results in a difficult environment -- they're executing well in the core area, and they're reining back and being careful in the growth areas," commented SG Cowan's Michael Finney, who rates the stock as a 'hold'. "These are slightly positive results. There's not that much more downside from here, and so it's attractive from that angle, but it's not rush out and buy scenario." But WDS, which provided 13 pct of revenue in the first half, remains a concern because of its back-weighing. In previous years the business has relied on a spike in demand over Christmas as operators upgrade capacity; but a slower demand last year led to CMG's profit warning in April. "The problem the company's facing is that they desperately want to be positive for the WDS business, but they can't be because it's so skewed towards the fourth quarter -- they just don't have any visibility," Finney said. Charles Newington-Bridges of JP Morgan also highlighted cuts in R&D spend as potentially flattering the performance of the WDS division and therefore the entire group. CMG said today it was looking at balancing its R&D spend, previously around 60 mln stg per annum, to better reflect the growth potential of WDS. Newington-Bridges commented: "The headline numbers look better than expected, but I still