Ahead of a likely increase in interest rates we explain how investors need to carefully consider their yield investments and highlight some prime income picks.

Sports nutrition company Science in Sport (SIS:AIM) represents an exciting small cap momentum play. With new products boosting growth and its brand gaining traction with elite athletes and weekend warriors alike, a positive annual meeting (25 June) update may well spark gains.

Small Cap - SiS - Apr 15

Hatton Garden-headquartered SiS - a running Play of the Week - makes and markets sports nutrition products spanning energy powders and isotonic gels to hydration tablets. Winning market share from competitors, SiS recently entered the high-growth protein market for muscle development.

An official supplier to Team Wiggins and the GB Rowing Team, SiS is growing across all channels, including supermarkets, specialist sport and high street retailers and the web. Investment in new products is enhancing growth rates, while international markets offer opportunities.

Prelims (26 Mar) showed a narrowed operating loss and improved gross margins for the operationally-geared group, suggesting sustained profitability isn’t miles away. The growing popularity of endurance sports, a British cycling boom and a likely demand spike ahead of the London Marathon may well have boosted sales in March, SiS’ peak selling period.

Cenkos Securities’ Andrew Blain forecasts a swing from £500,000 loss to £100,000 pre-tax profit for the year to December 2016. Given SiS brand strength and potential in a high growth sports nutrition category that has seen significant M&A, the company could even draw bid in time.

SiS looks like a good runner at 67.5p.

BROKER CONSENSUS



Find out how to deal online from £1.50 in a SIPP, ISA or Dealing account. AJ Bell logo