Shares in Gulf Keystone Petroleum rise as much as 9 percent to touch a year high after the oil explorer says tests at its Shaikan-1 well in Iraq's Kurdistan show a ten-fold increase in flow rates, raising expectations for future production rates.
'Clearly more good news is flowing from Gulf Keystone,' says analyst Richard Nolan at Daniel Stewart.
'The results that we saw today are very encouraging. It helps to give a lot of credibility and support to not only Gulf Keystone but anybody who is working in Kurdistan,' he adds.
The broker keeps its 'buy' rating and price target of 150 pence on the stock.
Shares in Capital & Regional Plc rise 4 percent after the property fund manager swings to a first-half profit, boosted by disposals and higher property values.
'We believe management is doing all the right things and trading at 42 percent discount to net asset value combined with strong potential acquisition power of 1.5 billion pounds (for third parties), the stock does look interesting in our view,' broker J.P. Morgan Cazenove says.
The broker has an 'overweight' rating on the stock.
Shares in Micro Focus International fall 24 percent to a 10-month low after the IT firm disappoints with flat underlying revenue growth for the first quarter, and lowers its guidance for full-year sales.
The company says a number of significant transactions have been delayed, and it now sees revenue growth for the year in the low single digits rather than its previous mid-single digit forecast. It said it was still targeting double-digit growth in the medium term.
'With confidence already fragile and a second-half weighted year, Micro Focus's rating will not start to reflect ambitions for double digit growth in the medium term,' says KBC Peel Hunt analyst Alex Jarvis, who downgrades to 'hold' from 'buy'.
Shares in Rok plunge as much as 50 percent after the British repair and maintenance firm says it has suspended its chief financial officer due to 'serious failings' in financial controls at its plumbing unit, and warns on full-year profits as a result.
'The wider implications have to be if there are failings there there could easily be failings elsewhere and I think that's why the shares have halved,' says Panmure Gordon analyst Andy Brown.
The broker cuts its stance from 'buy' to 'sell', saying: 'The result of this news means we cannot justify buying the shares at this stage.'
The FTSE Small Cap index falls 0.2 percent in early trade, outperforming both the blue chips and the midcaps, off 1.3 percent and 1 percent respectively.
Rok slides almost 39 percent after the property repair firm says full-year profits will be significantly behind the market view as it suspends its chief financial officer amid financial mismanagement in its plumbing unit.
Capital & Regional puts on more than 4 percent after the property fund manager swings to a first-half pretax profit, helped by higher property values and disposal of assets.
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