FTSE 100 movers: Serco's growth rate to acclerate

Fears that outsourcers such as Serco would be hard hit by the government's comprehensive spending review have yet to be fully realised, but the company's shares have been on a bad run of late.That seems to have prompted Citigroup to issue a "buy" note on the stock, with a target price of 670p.Citi reckons that the threat of losing government business is starting to recede, while the company also has plenty of room to grow in the Asia Pacific market.Citi is predicting Serco's organic growth will kick on from 3% in the first half of 2011 to 7% in 2012 and 8% in 2013. "News on large bids for MOD army recruitment, Peterborough Council, and Lincolnshire Police are due in the second half," Citi notes.Advertising agency WPP was under the cosh on Wednesday but that is more likely to be because of concerns about the global economy rather than what looks like a small bolt-on acquisition of an Indian advertising agency.Moody's downgradng of Portugal's debt to junk status and China's decision to hike its key lending rate by a quarter of a point could both put a crimp on economic confidence, to the detriment of WPP's business, which depends on a "spend, spend, spend" mentality.The company announced it is aquiring Mindset Advertising, a full service advertising agency that offers creative services, strategic planning and campaign execution in digital, print and television. The agency employs 44 people and major clients include ADP, Airtel and Pepsi. Mindset's unaudited revenues for the year ended 31 March 2011 were Rs 51 million, with gross assets of Rs 43 million at the same date.FTSE 100 - RisersSerco Group (SRP) 565.00p +3.86%ARM Holdings (ARM) 616.00p +2.41%Smith & Nephew (SN.) 684.00p +1.71%Glencore International (GLEN) 494.20p +1.69%Experian (EXPN) 823.00p +1.48%Intertek Group (ITRK) 1,938.00p +1.47%GlaxoSmithKline (GSK) 1,359.50p +0.93%Tullow Oil (TLW) 1,313.00p +0.92%Resolution Ltd. (RSL) 300.00p +0.60%Randgold Resources Ltd. (RRS) 5,185.00p +0.58%FTSE 100 - FallersBarclays (BARC) 249.75p -3.76%Royal Bank of Scotland Group (RBS) 37.85p -3.42%WPP (WPP) 762.00p -3.05%International Consolidated Airlines Group SA (IAG) 251.10p -2.94%International Power (IPR) 310.20p -2.76%ICAP (IAP) 480.30p -2.66%ITV (ITV) 71.75p -2.58%Eurasian Natural Resources Corp. (ENRC) 795.50p -2.33%Admiral Group (ADM) 1,630.00p -2.28%Vedanta Resources (VED) 2,023.00p -2.22%