Clinical shares soar on market debut

SHARES in the stock market newcomer Clinical Computing, a supplier of specialist medical software, rose 40 per cent to 173p on the first day of dealing, writes Diane Coyle.

The company made pre-tax profits of pounds 1.2m on turnover of pounds 2.6m in the year to 31 December 1993. The pounds 3.1m raised by the placing of 25 per cent of its shares will be used for product development and to create a sales and distribution network.

One advance will be in Clinical's Proton software. Future versions will be 'open systems' products that can run on any computer without adaptation. Clinical already has a prototype that incorporates the popular Microsoft Windows displays.

Clinical's directors said they intended to enhance shareholder value through capital growth rather than high yield.

Lionel Arbis, analyst at stockbroker Greig Middleton, said: 'The share price puts the company on a demanding rating. But it has a good product and no significant competition.' Last year's 6.27p earnings per share implies a price earnings multiple of 27.5.