Last checked at LONDON (Alliance News) - The following stocks are amongst the biggest risers and fallers within the main London indices midday Monday.
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FTSE 100 WINNERS
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HSBC Holdings, up 2.5%. The bank's shares are higher after the Sunday Times reported that it is mulling the spin-off of its UK retail bank into a separate business valued at about GBP20 billion. A deal could revive the old Midland Bank, which was bought by the lender in 1992. The stock closed up 2.9% on Friday, when it announced a review of where its headquarters are based, raising speculation that it could move its base outside the UK.
Sports Direct International, up 1.8% at 624 pence. RBC Capital Markets upgraded the company to Sector Perform from Underperform, saying that online sales are improving again and it feels the valuation for the sports retailer is now more reasonable. RBC lowered its price target for Sports Direct to 650.00p from 700.00p.
Centrica, up 0.2%. The energy company reiterated its full-year guidance, after the cold winter boosted energy consumption in its British Gas business despite a broadly flat number of residential accounts and lower numbers of business customers, but the company noted its outlook is clouded by the upcoming General Election and the regulatory review of the UK gas and electricity market.
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FTSE 250 WINNERS
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Supergroup, up 5.4% at 995p. RBC Capital Markets upgraded the fashion retailer to Outperform from Sector Perform, lifting its price target to 1,150.00 pence from 1,000.00p, saying the company's valuation is undemanding, and it should drive double-digit top and bottom line growth.
Tullow Oil, up 0.9%. The oil company said its flagship TEN project can continue to be developed, despite an international tribunal ordering all new exploration for oil and gas in a disputed offshore area between Ghana and the Ivory Coast, where the project is located, to be suspended. Analysts say the news alleviates concerns about delays and its balance sheet caused by the dispute.
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FTSE 250 LOSERS
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Lonmin, down 2.0% at 141.00p. Exane BNP cut the oil company's price target to 133p from 260p, keeping its Neutral rating.
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AIM ALL-SHARE WINNERS
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Staffline Group, up 18%. The recruitment and training company said it will pay GBP23.5 million in cash for A4e, a welfare-to-work and skills training services provider in the UK, and will assume the company's GBP11 million debt obligations. The cash consideration will be funded through increased debt facilities provided by Staffline's existing lenders. Its lending facilities will now comprise a GBP35 million term loan, GBP20 million in loan notes, and increased working capital facilities of GBP30 million.
Digital Globe Services, up 18%. The company, which provides advertising services, said it expects to see its core US telecoms market stabilise following the collapse of the potential merger between Comcast Corp and Time Warner Cable, as well as Comcast's deal with smaller rival Charter Communications.
Red24, up 13%. The group, which provides crisis management to businesses including travel security, kidnap assistance and cybercrime response, said it expects its results for the recently-ended financial year to beat its own expectations, after it managed to mitigate the loss of a major client earlier in the year by cutting costs and winning other work with existing and new clients, while the current year has got off to a good start.
Baron Oil, up 12%. The oil company said production has now resumed at the Nancy 1 well in the Nancy Burdine Maxine oil field in Colombia and production is gradually increasing to the 400 barrels of oil per day target for the site.
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AIM ALL-SHARE LOSERS
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Thor Mining, down 25%. The miner's shares are down after it noted the recent increase in trading volumes in the company's shares and "bulletin board speculation", but said it is unaware of any reason for the rise, adding it has not held any talks regarding the Molyhil project in Indonesia. The company admitted there are several companies "reviewing the Molyhil project", but said none are guaranteed to lead to a deal.
Sprue Aegis, down 14%. The home safety product developer said its pretax profit almost doubled in 2014 as European sales rose substantially, but it warned that although revenue in 2015 will be higher than expected, it believes its pretax profit will be below market expectations due to the strong pound cutting into gross margins.
By Daniel Ruiz; danielruiz@alliancenews.com
Copyright 2015 Alliance News Limited. All Rights Reserved.
9 Apr 2024 07:39
LONDON BRIEFING: HSBC sells Argentinian arm for USD550 million
(Alliance News) - Stocks in London are called to open lower on Tuesday, as investors nervously look ahead to US inflation data and the European Central Bank's latest interest rate decision.
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