City's Himsworth: The value in online gaming

ON UK GROWTH

clock

Political risk and earnings warnings are blighting the UK equity market. But online gaming stands out from other risk-laden sectors, says City Financial's Leigh Himsworth.

With central banks in Europe contemplating a withdrawal of monetary stimulus, UK elections on the horizon and undercurrents from Russian political posturing starting to cause concern, there is no shortage of latent risk to stock markets. The FTSE All Share is currently trading at a premium to historical ratings, with a 12-month trailing P/E ratio of 13.5 times, compared with 12.5 times in 2007, which inflates the risk. Recent multiple expansion has removed a floor on prices and means that, should a company miss its earnings estimates, there is an increased risk of a harsh reaction fro...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on UK

BoE data trialling underway following Ben Bernanke policymaking review
UK

BoE data trialling underway following Ben Bernanke policymaking review

Structural VAR models in progress

Eve Maddock-Jones
clock 22 July 2025 • 3 min read
UK government borrowing soars to second-highest level on record
UK

UK government borrowing soars to second-highest level on record

April-June borrowing was £57.8bn

Sorin Dojan
clock 22 July 2025 • 2 min read
UK and Germany to unveil 'landmark' agreement to boost defence exports
UK

UK and Germany to unveil 'landmark' agreement to boost defence exports

Billions of pounds in exports

Linus Uhlig
clock 17 July 2025 • 2 min read
Trustpilot