SIRIUS FINANCIAL SOLUTIONS (SIR).

Investors Chronicle, May, 2006

At the beginning of 2004, Sirius Financial Solutions moved its head office from Sutton Coldfield to Solihull. It sold its freehold premises, but has been unable to dispose of an office with a nine-year lease. So last year's results included a one-off hit of GBP743,000. The launch of new insurance broker software held back sales, while short-term timing differences pushed up the tax charge to 70 per cent. Without these negatives recurring, 2006 turnover could rise to GBP24m, according to company broker Brewin Dolphin, and profits to GBP1.6m with EPS jumping to 5.8p.

If forecasts are met, the PE ratio falls to a more realistic 23. Fairly priced.