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Questor says buy

In the short term, they will be be pressed for economies and those savings will be - no matter how they protest - eat in profits.

However, in the long term they are likely to be some of the biggest winners as Government turns to business cutthroat trout to resolve the nonchalant attitude of many workers in the public sector.

At present only 11 of the 110 - odd prisons Britain were contracted to the operators of the private sector, of which four are headed by G4s, four by Serco and three by Kalyx. The Government is currently offers four other tender, and it seems likely that more will be moving from private.

A growing number of hospitals, schools, childcare suites probation and police stations is also capable of falling in the day-to-day management of subcontractors.

G4s, which secures the airport Heathrow and GCHQ, says it can realize efficiencies 20pc almost as soon as his hands keys.For a Government trying to save ￡ 81bn by 2015, outsourcing has obtained either a large part of the solution.

Panmure Gordon analysts agree: "we believe that the potential volume should increase in the medium term on the back of the [G4S signing of the memorandum of understanding with the Government to achieve cost savings]", with the company indicating there is no reason to propose margins should be important by pressure. ""

G4S is a cheap way to play the growing outsourcing, step only here, but worldwide entier.La company, which started life in Copenhagen in 1901, currently operates 120 pays.Dernier scalp the G4S was a shift in the Brazil this summer, who received the very company management trend excité.Ce is pricked their interest, but the perspective help to lock all the fans of sports position ranges it Cup 2014 world and the Olympic Games 2016.

Shares are trading price earnings ratio approximately 12.4, falling to 11.5 performance 3pc and next year now and a dividend of 7.67 percent.

G4S is a good defensive stock to go better both as well as the bad temps.Acheter.

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