International Personal Finance NED buys as market blinded by risks

7th Aug 2014 16:13

After shares of International Personal Finance fell by around £1 in recent weeks, after a solid set of interim results slightly soiled by admission of increased regulatory burden and a reduction in guidance due to higher expansion investment, senior independent director Cathryn Riley has taken the opportunity to buy shares.The non-executive director (NED) shelled out almost £25,000 at 534p in the FTSE 250 home credit business.At the end of July IPF delivered a solid set of results for the six months to end-June, but expansion plans in Spain and currency headwinds drove a cut of around 10% in 2015 earnings. With the exception of the Czech-Slovakia division, all markets fared well, with Poland numbers a little ahead of our expectations. Market focus centred around ongoing regulatory developments in the eastern European markets and the company's new entry into Spain.As broker Berenberg said: "Moving into Spain marks an important development, as it embarks on a project that will absorb significant cost."It downgraded estimates for 2014 and 2015 by 3% and 9% but stressed it believed that "there is considerable long-term growth potential" in IPF and that the current share price trading at less than 12 times 2015 expected earnings "is relatively undemanding" for a 14% earnings growth rate.Top Director BuysPremier Foods (PFD) Director name: Mr Alex WhitehouseAmount purchased: 100,000 @ 42.75p Value: £42,750International Personal Finance (IPF) Director name: Ms Cathryn RileyAmount purchased: 4,681 @ 534.00p Value: £24,997Telecity Group (TCY) Director name: Mr Michael TobinAmount purchased: 2,500 @ 752.20p Value: £18,805