A profits warning from the LCD displays and computer maker underlines its unattractiveness as an investment prospect at the moment, and follows the departure of finance director Carl Thompson 'by mutual consent' ten days previously. Densitron's US business, traditionally a cash cow, is clearly in a degree of trouble, while sales of its Cassius all-purpose computer (for consumers) remain in much need of the uplift it is hoped a pre-Christmas Tube advertising campaign will bring. House broker Peel Hunt expects £500,000 in pre-tax profits for the year but this is before £1m is siphoned off to minority interests in the Taiwanese businesses VBest and Hitech. Shareholders could therefore have to bear a loss of 2.1p on each share, with an even worse outcome distinctly possible. With little short-term prospect of much in the way of earnings attributable to investors, these shares are well worth avoiding.

Densitron Technologies	AIM	£2.77m	4.00p	0.00p
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