The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksHikma Pharmaceuticals Share News (HIK)

Share Price Information for Hikma Pharmaceuticals (HIK)

London Stock Exchange
Share Price is delayed by 15 minutes
Get Live Data
Share Price: 1,939.00
Bid: 1,936.00
Ask: 1,938.00
Change: -20.00 (-1.02%)
Spread: 2.00 (0.103%)
Open: 1,942.00
High: 1,950.00
Low: 1,938.00
Prev. Close: 1,959.00
HIK Live PriceLast checked at -

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

LONDON MARKET CLOSE: FTSE In Correction Territory As Virus Fears Mount

Thu, 27th Feb 2020 17:12

(Alliance News) - The FTSE 100 suffered its biggest intraday fall since the Brexit referendum in 2016, joining a global stock market sell-off as the spread of coronavirus continued to widen.

Around 2,800 people have died in China and more than 80,000 have been infected. There have been more than 50 deaths and 3,600 cases in dozens of other countries, raising fears of a pandemic.

With 14 deaths and 528 infections, Italy is by far the European country worst affected by the COVID-19 outbreak. It has also been a point of contagion with many cases in other countries involving people who returned home after travelling in infection-hit areas of northern Italy.

In Japan, Prime Minister Shinzo Abe called for school closures to prevent the spread of the illness, while French President Emmanuel Macron warned the country is "facing a crisis, an epidemic that is coming".

The virus continues to spread across the globe, with Brazil reporting Latin America's first case, and Greece, Georgia, Norway and Pakistan following suit.

The FTSE 100 index closed down 246.07 points, or 3.5%, at 6,796.40. The large cap index, which closed up 0.4% at 7,042.47 on Wednesday, fell to an intraday low of 6,729.99 in afternoon trade - its lowest level in 13 months and down 10% from its peak in mid-January.

The FTSE 250 ended down 839.50 points, or 4.1%, at 19,783.45, and the AIM All-Share closed down 24.20 points, or 2.7%, at 886.96.

The Cboe UK 100 ended down 3.4% at 11,516.62, the Cboe UK 250 closed down 3.9% at 17,848.68, and the Cboe Small Companies ended down 2.1% at 11,810.50.

In Paris the CAC 40 ended down 3.3%, while the DAX 30 in Frankfurt ended 3.2% lower.

"The coronavirus contagion is a rapidly evolving situation and fears of its spreading are intensifying as multiple reports of cases emerging across the globe add to the sense of panic. Clearly it is serious, and unfortunately there have been a number of deaths reported. At this point, the lack of understanding of the virus and how far it could spread generates fear, and this fear of the unknown is impacting on stock markets across the world," Willis Owen's Adrian Lowcock said.

"Up until this week markets were fairly relaxed about it as they hoped the impact was limited to China and thus the feed through to global growth would be short term and limited. That's changed now there have been significant breakouts in Italy particularly, and today a concerning case in the US. This has undoubtedly raised the possibility that it will become a global issue, and if this comes to pass this will have a much bigger impact on global growth and hit company profits," Lowcock added.

On the London Stock Exchange, Hikma Pharmaceuticals ended the best blue chip performer, up 4.3% after the drugmaker said it delivered a positive financial performance in 2019.

Hikma said group revenue in 2019 rose 7% to USD2.2 billion, compared to USD2.07 billion in 2018, reflecting good growth in each of the three business. Pretax profit grew to USD493 million from USD293 million in 2018, also reflecting strong performance of its three business segments.

By division, Injectables revenue grew 8% to USD894 million, "driven by strong demand" for the company's portfolio.

The company declared an annual dividend of 44 cents per share, an increase from 38 cents per share in 2018. The final dividend 30 cents, up from 26 cents. Looking ahead, the company said it expects its three business segments to grow in 2020. Hikma said it does not currently anticipate any material impact from coronavirus, since it does not have extensive operations in China.

Rentokil Initial closed up 0.5% after the pest control company upped its dividend by 15% following a "strong" annual performance in which it beat revenue growth targets. Rentokil declared a final dividend of 3.64 pence per share, taking the total to 5.15p, just over 15% higher than the payout in 2018.

The company swung to a pretax profit of GBP338.5 million, after a loss of GBP114.1 million in 2018. Rentokil's figure last year had been hit by a pension settlement worth nearly GBP350 million. Adjusted pretax profit was 11% higher at actual exchange rates, an 9.8% at constant currency, at GBP340.9 million. Rentokil achieved 9.8% revenue growth at actual exchange rates to GBP2.71 billion, with constant currency revenue growth 8.5%. Organic revenue growth was 4.5%, beating Rentokil's medium-term target of 3% to 4% annual organic growth.

Looking ahead, Rentokil said it has made a "good" start to 2020, and it has maintained medium-term growth targets.

At the other end of the large cap index, WPP ended the worst performer, down 16% after the advertising agency posted a double-digit profit slump.

From continuing operations, revenue for 2019 was up 1.4% to GBP13.23 billion from GBP13.05 billion, but pretax profit slumped 22% to GBP982 million from GBP1.26 billion.

The profit hit was largely due to it booking a GBP68.4 million hit from the revaluation of financial instruments, compared to a GBP169.4 million gain in 2018. Billings meanwhile, slipped 0.3% to GBP53.06 billion GBP53.22 billion. Like-for-like billings were down 1.0% in 2019.

For 2020, WPP expects revenue less pass-through costs to be flat year-on-year, although WPP said this guidance was made prior to any impact from the coronavirus outbreak.

"After a year of consolidation and modest progress, 2020 was supposed to be the year when CEO Mark Read really started to deliver, joined by newly appointed finance chief John Rogers. He is off to a very ropey start after reporting that underlying revenue slumped rather alarmingly in the fourth quarter of last year. The best investors can hope for now is zero growth and maintained margins in 2020. The targets for 2021 have been maintained but the market's patience appears to have snapped," said AJ Bell's Russ Mould.

In addition, travel stocks continued their freefall with TUI ending down 8.2%, easyJet down 4.2% and International Consolidated Airlines down 7.9%. The FTSE 350 travel & leisure sector closed down 4.8%.

Persimmon closed down 6.3% after the housebuilder's annual profit missed market expectations, with revenue and new home sales declining as the group prioritised the quality of sales over quantity.

In addition, Persimmon announced Chief Executive David Jenkinson will step down in due course, staying "for as long as the business requires".

For 2019, Persimmon reported pretax profit of GBP1.04 billion, down 4.6% from the year before, on revenue that declined by 2.4% to GBP3.65 billion. During the year, Persimmon delivered 15,885 new homes to customers, down 4% from 16,449 the prior year, but at an average selling price of GBP215,709, up marginally year-on-year.

The revenue decline was due to a lower volumes of homes sold, as Persimmon delayed sales releases in higher demand locations to later stages of construction in order to improve the quality of the group's homes.

The pound was quoted at USD1.2867 at the London equities close, down from USD1.2920 at the close Wednesday.

Analysts at FXPro told Alliance News: "The jump in new coronavirus cases outside of China sends key stock indices one after another to the correction territory when the drop from the peak exceeds 10%. Under these conditions, the thirst for the so-called safe havens increases sharply. In the currency markets of Britain and the United States, there is a rapid reassessment of prospects towards new rate cuts soon.

"Fear of the spread of coronavirus lead FTSE 100 to collapse by more than 3.3% on Thursday, and increased speculation around an imminent reduction in UK rates weakens the pound against the euro and to a lesser extent against the dollar."

Meanwhile, sterling's fall was compounded by fears UK Prime Minister Boris Johnson could walk away from trade talks with the EU in June unless there is the "broad outline" of a deal.

The UK's guidelines for the negotiations, which cover trade and other aspects of the future relationship with Brussels, sets the deadline for progress against a backdrop of deep divisions between the two sides over issues including fish, state subsidies and standards.

The UK government set out its plans for the talks ahead of the first round of negotiations on Monday, making clear that it "will not negotiate any arrangements in which the UK does not have control of its own laws and political life".

The euro stood at USD1.0984 at the European equities close, up from USD1.0866 late Wednesday. Against the yen, the dollar was trading at JPY110.58, flat from JPY110.52 late Wednesday.

Stocks in New York were sharply lower at the London equities close amid fears the coronavirus will lead to a recession in the world's largest economy.

Moreover, the losses came after US public health officials confirmed a coronavirus case in Solano County, California, the first affliction of unknown origin.

The DJIA was down 2.4%, the S&P 500 index down 2.5% and the Nasdaq Composite down 2.8%.

Yields on US Treasuries, which fall when prices rise, dropped below 1.26% for 10-year debt and 1.75% for the 30-year Treasury bond, as the as the coronavirus spread outside China - despite infections inside China starting to slow.

"Based solely on the yield curve, the odds of a recession have rebounded to more than 30%. But the strength of US building permits, albeit in part due to unseasonably warm weather, suggests the recession odds have fallen below 10%. The manufacturing data had also been improving, at least up to January, with the bounce-back in the ISM new orders index pointing to a lower recession risk," Capital Economics analysts said.

On the economic front, the US economy expanded at an unrevised annual rate of 2.1% in the fourth quarter, data from the Bureau of Economic Analysis showed.

The reading also matched the third quarter growth rate of 2.1%.

In addition, the personal consumption expenditures price index increased 1.3% in the fourth quarter, compared with an increase of 1.5% in the third. Excluding food and energy prices, personal consumption expenditure were up 1.2% versus 2.1% in the three months to September.

Brent oil was quoted at USD51.32 a barrel at the London equities close from USD54.45 at the close Wednesday. The North Sea benchmark - down for the fifth successive session - fell to an intraday low of USD50.96 in afternoon trade, its lowest level since December 2018.

Gold was quoted at USD1,655.10 an ounce at the London equities close, higher against USD1,637.00 late Wednesday, as demand for the safe haven asset increased amid virus fears.

The economic events calendar on Friday has Germany unemployment and inflation data at 0855 GMT and 1300 GMT respectively In the afternoon, there is US personal consumption expenditure figures at 1330 GMT - the core reading is the Fed's preferred gauge of inflation.

The UK corporate calendar on Friday has annual results from stock exchange operator London Stock Exchange Group, airline operator International Consolidated Airlines Group, Irish building materials firm CRH, property portal Rightmove and from jet engine maker Rolls-Royce Holdings.

By Arvind Bhunjun; arvindbhunjun@alliancenews.com

Copyright 2020 Alliance News Limited. All Rights Reserved.

More News
5 Aug 2022 09:43

Barclays downgrades Hikma to 'equalweight' on Generics concerns

(Sharecast News) - Barclays downgraded Hikma Pharmaceuticals on Friday to 'equalweight' from 'overweight' and cut the price target to 1,750p from 2,250p as it said a lack of visibility in the generics division was a real concern.

Read more
5 Aug 2022 08:15

LONDON BRIEFING: London Stock Exchange benefits from market volatility

(Alliance News) - London Stock Exchange Group on Friday said results in the first half of 2022 improved, as this year's interim period had an extra month's worth of contribution from recent acquisition Refinitiv.

Read more
4 Aug 2022 17:05

LONDON MARKET CLOSE: Stocks shrug off BoE's UK recession warning

(Alliance News) - Stocks in London managed to end higher on Thursday despite a bleak warning from the Bank of England regarding to outlook for the UK economy as it jacked up rates by 50 basis points.

Read more
4 Aug 2022 12:09

LONDON MARKET MIDDAY: BoE hikes, expects UK recession in 4th quarter

(Alliance News) - London shares price made some gains on Thursday morning, though these fell well short of the market rise seen on mainland Europe, as traders in London showed signs of trepidation leading up to the Bank of England's interest rate decision.

Read more
4 Aug 2022 10:15

Hikma revenue flat, profits tumble in first half

(Sharecast News) - Hikma shares were tumbling on Thursday morning after the pharmaceuticals company reported flat group revenue in its first half, at $1.21bn, as it slashed its guidance on its lagging generics business.

Read more
4 Aug 2022 09:01

LONDON MARKET OPEN: FTSE 100 underperforms amid pre-BoE trepidation

(Alliance News) - The FTSE 100 underperformed European peers and traded sideways in early dealings on Thursday, with the Bank of England to take centre-stage during a week that so far has been dominated by tensions between the US and China.

Read more
4 Aug 2022 09:00

TOP NEWS: Hikma first half hit by stiff competition for Generics

(Alliance News) - Hikma Pharmaceuticals PLC shares suffered on Thursday, as it lowered annual guidance after a poor performance in its Generics business hit half-year profit.

Read more
4 Aug 2022 07:54

LONDON MARKET PRE-OPEN: Next and Serco up outlook but Hikma lowers

(Alliance News) - Stock prices in London are seen opening ever-so-slightly higher, falling short of the more convincing gains seen in Asia, with investors wary ahead of the latest Bank of England interest rate decision.

Read more
28 Jul 2022 16:06

UK earnings, trading statements calendar - next 7 days

Friday 29 July 
Allianz Technology Trust PLCHalf Year Results
Aston Martin Lagonda Global Holdings PLCHalf Year Results
AstraZeneca PLCHalf Year Results
Babcock International Group PLCFull Year Results
CMC Markets PLCTrading Statement
Croda International PLCHalf Year Results
Glencore PLCTrading Statement
Jupiter Fund Management PLCHalf Year Results
IMI PLCHalf Year Results
Impellam Group PLCHalf Year Results
Industrials REIT LtdTrading Statement
International Consolidated Airlines Group SAHalf Year Results
Intertek Group PLCHalf Year Results
Law Debenture Corp PLCHalf Year Results
Morgan Advanced Materials PLCHalf Year Results
NatWest Group PLCHalf Year Results
Premier Miton Global Renewables Trust PLCHalf Year Results
Rightmove PLCHalf Year Results
Shearwater Group PLCFull Year Results
Standard Chartered PLCHalf Year Results
Walker Crips Group PLCFull Year Results
YouGov PLCTrading Statement
Monday 1 August 
Ascential PLCHalf Year Results
Cranswick PLCQ1 Results
Dialight PLCHalf Year Results
GlobalData PLCHalf Year Results
HSBC Holdings PLCHalf Year Results
Hutchmed (China) LtdHalf Year Results
NAHL Group PLCTrading Statement
Pearson PLCHalf Year Results
Senior PLCHalf Year Results
Seraphine Group PLCFull Year Results
Spectris PLCHalf Year Results
XP Power PLCHalf Year Results
Tuesday 2 August 
BP PLCHalf Year Results
Capital & Counties Properties PLCHalf Year Results
Coats Group PLCHalf Year Results
Devro PLCHalf Year Results
Direct Line Insurance Group PLCHalf Year Results
Domino's Pizza Group PLCHalf Year Results
Fresnillo PLCHalf Year Results
Greggs PLCHalf Year Results
Keller Group PLCHalf Year Results
Man Group PLCHalf Year Results
Rotork PLCHalf Year Results
Sage Group PLCQ3 Results
Staffline Group PLCHalf Year Results
Synthomer PLCHalf Year Results
Travis Perkins PLCHalf Year Results
Virgin Money UK PLCQ3 Results
Wednesday 3 August 
Endeavour Mining PLCHalf Year Results
Ferrexpo PLCHalf Year Results
Hill & Smith Holdings PLCHalf Year Results
Hiscox LtdHalf Year Results
IP Group PLCHalf year Results
LSL Property Services PLCHalf Year Results
Taylor Wimpey PLCHalf Year Results
Thursday 4 August 
Coca-Cola Europacific Partners PLCHalf Year Results
ConvaTec Group PLCHalf Year Results
Evraz PLCHalf Year Results
Glencore PLCHalf Year Results
Gym Group PLCHalf Year Results
Hikma Pharmaceuticals PLCHalf Year Results
Meggitt PLCHalf Year Results
Mondi PLCHalf Year Results
Morgan Sindall Group PLCHalf Year Results
Next PLCTrading Statement
Pantheon International PLCFull Year Results
Revolution Beauty Group PLCFull Year Results
Rolls-Royce Holdings PLCHalf Year Results
ScS Group PLCTrading Statement
Secure Trust Bank PLCHalf Year Results
Serco Group PLCHalf Year Results
Spirent Communications PLCHalf Year Results
Tritax Big Box REIT PLCHalf Year Results
  
Copyright 2022 Alliance News Limited. All Rights Reserved.

Read more
18 Jul 2022 09:46

LONDON BROKER RATINGS: Trio of downgrades for Fevertree; Admiral cut

(Alliance News) - The following London-listed shares received analyst recommendations Monday morning and Friday:

Read more
13 Jul 2022 10:02

LONDON BROKER RATINGS: Jefferies likes Tyman; UBS cuts Beazley

(Alliance News) - The following London-listed shares received analyst recommendations Wednesday morning and Tuesday:

Read more
25 May 2022 10:05

LONDON BROKER RATINGS: JPMorgan cuts Hikma; Liberum likes Trustpilot

(Alliance News) - The following London-listed shares received analyst recommendations Wednesday morning and Tuesday:

Read more
25 May 2022 08:28

LONDON BRIEFING: M&S warns on cost hit to profit but is well placed

(Alliance News) - Marks & Spencer on Wednesday reported a swing to profit for the year ended April 2, but the clothing, homewares and food retailer cautioned on profit in the year ahead, amid the war in Ukraine and investment plans.

Read more
24 May 2022 10:29

IN BRIEF: Hikma Pharmaceuticals Chief Executive Siggi Olafsson resigns

Hikma Pharmaceuticals PLC - London-based pharmaceutical company - Says Siggi Olafsson has resigned as chief executive officer and from the board to "pursue other opportunities." Adds he will remain available to the company until he resigns on June 24. Olafsson was appointed as CEO in 2018. Before he joined Hikma, he was president of peer firm Actavis Generics until 2014 from 2012.

Read more
24 May 2022 08:24

LONDON BRIEFING: Barclays launches delayed GBP1 billion share buyback

(Alliance News) - Barclays said it will kick off a GBP1.00 billion share buyback programme on Tuesday. The programme, initially announced in February, had been delayed in March after the bank admitted it sold more financial products to investors than it was allowed to.

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.