Sunday share tips: Oxford Instruments

16th Jun 2024 11:44

(Sharecast News) - The Financial Mail on Sunday's Midas column labelled shares of Oxford Instruments a "long-term buy".

First, the company's kit was helping in the discovery of new drugs and to make scientific discoveries.

Midas also called attention to Oxford's specialisation on cryostats, the tools that allow manufacturers to drive temperatures down to as cold as in outer space.

Those would be key for quantum computing, an industry that by 2035 was seen reaching £1trn in value, it said.

Furthermore, the company's new boss, Richard Tyson, was determined to make his mark and had just unveiled a new strategy.

Over the year to March, revenues jumped 10% to £470m and profit by 2% to £83m

Not surprisingly, brokers were expecting growth in sales to £520m and in profit to £90m by 2026, together with a higher dividend.