Regency View:

Keystone Law (KEYS) – Close at market (640p)

Keystone Law’s share price has done well to recover during the last year, and the quality of the company hasn’t diminished.

However, its valuation metrics are looking a little stretched with prices trading on a forward PE of 35.2. This looks punchy relative to its sector and its relative modest forecast earnings growth rate – giving the firm a forward PEG ratio of 2.0.

With this in mind, and the fact that the shares are starting to find resistance, we’re going to take profits at current prices.

Gross Profit = 50.2%

KEYS Daily Candle Chart