Earnings preview - Unilever - Debenhams - SKY

Thursday, 20th April 2017 09:46 - by Rajan Dhall

Big day for earnings tomorrow with Debenhams PLC, Unilever PLC, Acacia Mining PLC, Hvivo PLC, Sky PLC, Senior PLC, Go-Ahead Group PLC, Essentra PLC, Man Group PLC and Moneysupermarket.Com all reporting. 

SKY - Shares moved sharply higher with the news that Murdoch wanted to purchase full ownership of the Co. the levels to look out for are clearly marked on the chart and we are currently near the value area as we speak. The key is the decision on the 16th May regarding the takeover. May analyst's expect the deal to be completed and the Co. will surely look for steady results before the touted deal completion of August. 

Unilever - Volumes are expected to be lower to 1.7% vs. Prev. 2.1% according to Barclays and every time earnings are not where they want them to be the blame FX volatility so look out for that one. Other than that the weak GBP should help overseas sales but guidance maybe changed slightly. From a chart perspective the recent consolidation between 3876 and 4080 should hold unless something major happens, but on if the news is good look out for the 4000 mark.

Debenhams - Commercially I feel the Co. have done the right things by swapping out there own brands to bring in lower margin third party ones. Retail sales in the UK have held up (view graph) and the Co. trying to move into the online space maybe a efficient way to reduce costs of expansion. Looking at the chart, we are above the value are of 54.00 shares are on a decent run and a break of 55.00 will confirm a technical trend change making a new higher low and wave higher high.