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Micro Focus stays sharp

A bullish full-year trading update from Micro Focus sent its shares skyward
May 27, 2015

Shares in Micro Focus International (MCRO) climbed 4 per cent after management said the enterprise software giant would "comfortably" hit its targets for the financial year to April 2015. Adjusting for its £730m takeover of US peer Attachmate in November, it expects to post $1.33bn (£870m) in sales and $500m in underlying cash profits.

Ever-stellar cash generation helped Micro Focus slash net debt by 7 per cent to $1.4bn in the four months to end-April. But broker Panmure Gordon pegs last year's deal-related restructuring costs at $60m.

IC TIP: Sell at 1326p
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