City File: Reuters Holdings

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The Independent Online
REUTERS Holdings should post a 13 per cent rise in pre-tax profits to pounds 385m on Tuesday. But what of the future?

Close followers are worried that it will issue a bearish trading statement, pointing to stagnation in the financial markets and the rising cost of obtaining information. If Reuters' main business has gone ex-growth, it has a growing cash pile to throw at new areas. TV looks like its chosen avenue.

The shares, at pounds 14, command the sort of earnings multiple that accompanies a fast-growing company. Expect a rerating downwards.