Shares in Card Factory (CARD) took a tumble as the company revealed the extent to which currency could impact margins in the second half of the financial year. It's now certain that there will be some downward pressure on gross margins for FY2017 and beyond due to the weakness in sterling in the wake of the recent EU referendum.
IC TIP:
Buy
at
297p
The company won't report half-year results until September, but like-for-like sales are looking pretty flat for the first half. That said, management has promised another return of surplus funds which, according to City analysts, takes the shares' forward yield towards 8 per cent.
