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AstraZeneca's big cash flows and healthy dividends against its lack of growth prospects once key drugs lose their patent protection - and concluded that the former outweighed the latter. Now, we've changed our minds. Among Europe's big pharma stocks, AstraZeneca's are the ones to sell. That's partly because of the broader question of whether the pharmaceuticals sector is still a non-cyclical safe haven. Normally there would be a 'flight to safety' that favours pharma shares in troubled times like these, but that hasn't happened this year. So far in 2012, the average price of big pharma shares has dropped 11 per cent. But mostly it's because the regulatory, competition and legal problems that bedevil big pharma as a whole are particularly acute in the case of AstraZeneca. The root of AstraZeneca's problems is its persistent efforts over the past five years to maintain its status as a research-based pharmaceuticals company. This wasn't an unreasonable goal - given success, this business model would deliver better financial returns than those produced by diversified pharma companies. The problem is that Astra has made little progress. It attempted acquisitions that fell through, consummated deals that were too small to offset the loss of revenues as patents on drugs expired and witnessed the slow erosion of its research and development pipeline.

Thus far, the mid June support has held suggesting that the market may have factored in Eurozone downside for now, but the fragile market will almost certainly mean that any sustained loss of early June support towards 5,400 would kill off the bear squeeze argument, and at the same time suggest that an extended decline towards the low 5,000s is on its way. At this stage only sustained price action through May – June resistance towards 5,600 really gets the buyers into ‘safe’ territory technically

Housebuilder Persimmon (PSN) provides a trading update on Tuesday following on from its AGM statement in April where it reported a strong start to the current year with the spring selling season continuing to outperform the previous year. Persimmon said it had been encouraged by the level of customer enquiries following the launch of the Government's NewBuy 95% loan-to-value mortgage guarantee product. Persimmon’s progress has been followed by broker Panmure Gordon, which reiterated its buy rating on the 27th June. If the trading statement shows further progress there is every prospect that the market will chase the shares back to year highs.

Yes your right.........how did you guess............

Non-Executive Director and co-founder of Stagecoach, Ann Gloag, on Friday sold 139,360 pounds-worth of shares in the transport firm, making the most of a recent rise in the share price following full-year results and positive comnments from broker Nomura earlier in the week. Gloag sold 52,000 at 268.00p, reducing her stake to 62.5m ordinary shares, equivalent to a 10.85% stake in the company. On Tuesday Nomura reiterated its 'buy' recommendation and 305p target price for the firm after its full-year figures came in 4% higher than forecasts. "Despite concerns around the UK bus business in the wake of the First Group profit warning, trading has been robust, with FY2012 ahead of our forecasts," the broker said in a research note on Tuesday morning. All major divisions except West Coast beat its forecasts. "The outlook statement once again reiterates robust trading in the UK bus business and most recent trading points to fare increases sticking as expected. This should give the market greater confidence that the First Group warning is largely FGP specific and profits can at least be maintained in this division."

Positive Points: Management noted that "Standard had continued to deliver strong growth." The bank was winning market share, with the group remaining in growth mode, noting significant opportunities across its footprint of Asia, Africa and the Middle East. Double digit income growth is expected in a number of its markets including China, Indonesia, Malaysia, Africa and the Americas, UK and Europe region. The bank's net interest margin – the difference between deposit and lending rates - had improved. The group is currently benefitting from a gradual product shift at its Consumer Banking division away from mortgages and towards higher margin unsecured business. The group continues to ramp up investment across its operations. The board had continued to manage expenses tightly and, as a result, income growth is expected to be ahead of cost growth in the first half. Headcount levels at the end of May were broadly flat on the end of 2011. Management again reiterated that the bank has no direct sovereign exposure to Portugal, Italy, Ireland, Greece or Spain and that its total direct exposure to these countries remains significantly less than 0.5% of group assets. Standard remains a significant net lender to the interbank market. More than 90% of Standard Chartered's income and profits are derived from Asia, Africa and the Middle East. If and when economic power shifts from West to East, Standard Chartered is in a strong position to capitalise.

Negative Points: Currency movements continue to impede group performance. Income in India remains muted, impacted by ongoing weakness of the Indian Rupee against the US dollar. When comparing the first half of 2012 to the second half of 2011, management expects some compression in mortgage margins. Group loan impairment was, as expected, up on the first half of 2011 with the year on year increase in provisions broadly equal in amount in both Consumer and Wholesale businesses. Geopolitical developments provide potential ongoing risks. Politics and wider regional tensions could raise difficulties in such places as the Middle East, South Korea and South Africa. In India (which was the bank's most profitable market in 2010) Standard Chartered's business was challenged by continuous interest rate hikes by the Reserve Bank of India in a bid to tackle inflation. Many of the markets in which the group operates are strategic growth priorities for rivals. Uncertainty and ever more complex regulatory requirements, linked to capital adequacy, continue to overshadow. The company's reputation for delivering consistent growth has resulted in a share price which for some investors is full enough.

Financial Highlights: Income for the period is expected to grow at a high single digit rate over the comparable period in 2011. Income growth continues to be affected by the continued strength of the US dollar. Local currency weakness is expected to drag group income by over 2%, with the Indian Rupee being the major contributor. Negative Points:

Half year trading update: Standard Chartered continued to maintain its course in choppy economic waters. The double whammy of a loss of business confidence and the subsequent drop in the currency meant that its Indian operation had proved something of a drag on the overall performance. In addition, many of the emerging markets remain strategic priorities for rivals, with the general ennui surrounding bank shares at present not making for pleasant reading. More positively, the company confirmed that double digit income growth was expected in a number of regions, including Europe, the Americas and, crucially, China.

Standard Chartered is named after two banks which merged in 1969. They were originally known as the Standard Bank of British South Africa and the Chartered Bank of India, Australia and China. More than 90% of its income and profits are derived from Asia, Africa and the Middle East. The bank is one of the world's most international banks, with over 1,700 branches, offices and outlets in more than 70 countries. It operates via two business segments: Consumer Banking, which meets the needs of small and medium-sized enterprises (SMEs) and personal banking customers and Wholesale Banking, which includes lending and portfolio management. It is listed on both the London and Hong Kong Stock Exchanges.

Positive Points: Management believes the group remains on track to meet current analyst forecasts for the full year. The group reiterated that revenue growth, margin progression and free cash generation will be weighted towards the second half of the year. The board highlighted that its recently created global Business Processing Outsource (BPO) business had demonstrated the strength of its strategic positioning, achieving excellent new contract wins that it believes will add significant future revenues. Along with an improving outlook for its UK business, the company had also seen further strong growth for its Africa, Middle East, Asia and Australasia (AMEAA) division. In February Serco said it had identified £30 billion of opportunities across the group, with over a quarter coming from its AMEAA region where the firm is targeting expansion. The company's geographical footprint continues to be expanded. As of the last financial year, Serco recorded its highest ever international mix - 44% of total group revenue was generated outside the UK. A progressive dividend policy continues to be pursued. The total dividend payment for 2011 grew by 14.3% compared to 2010. Consensu

Negative Points: For the first half of the year, management expects a small reduction in the company's organic revenue. Trading conditions in the US federal market remain very tough, impacting its Americas division. Political deadlock in the US regarding budget negotiations continues to provide uncertainty. Whilst its UK market is showing signs of improvement, government austerity measures continue to pose a threat. With a major proportion of Serco's revenues exposed to the public sector, the company carries a degree of political risk. Serco operates in a highly competitive market. Any future acquisition carries a degree of over payment or integration risk

Half year trading update: Management noted that the group "remains on track to meet expectations for 2012." However, it also highlighted very tough conditions for its Americas division, and as such, expects a small reduction in the company's organic revenue performance over the first half. But as previously noted, financial performance (including revenue growth, margin progression and free cash generation) will be weighted to the second half of the year when management expects a strong financial result. This is expected to come through new contract awards, the successful conclusion of its change programme and the benefit of recent acquisitions

Serco was founded in 1929 as a United Kingdom division of the Radio Corporation of America and initially provided services to the cinema industry. It changed its name to Serco in 1987 and has been a London Stock Exchange listed company since 1988. Today, Serco has grown to become one of the world's leading service and outsourcing companies. The group operates in Europe, the Middle East, Asia Pacific and North America. High profile contracts include London's cycle hire scheme and the Dubai metro.

Positive Points: Bunzl said that overall trading is consistent with expectations at the time of its interim management statement in April. Both geographical and customer industry diversification are enjoyed. Acquisitions continue to provide a key element of the group's growth strategy. "The current environment for acquisitions remains positive with a promising pipeline of opportunities," the company said. Bunzl declared that its strong cash flow and balance sheet should continue to enable the Company to take advantage of appropriate opportunities to consolidate further in the markets in which it competes.

Negative Points: Bunzl remains sensitive to currency fluctuations. The group generates about half of its profits from North America so there is exposure in movements in the dollar on reported profits. The group boasts a good M&A track-record, but external growth could be considered more risky than organic growth. Acquisitions always bring an element of risk. The group would be exposed to margin risk were it not able to pass on price rises in its products.

Financial Highlights: Bunzl expects first half revenue growth of around 7%. Including the acquisition of Service Paper announced today, the company has completed five acquisitions year to date with annualised revenue of approximately £130 million.

Half year trading statement: Bunzl, boosted by acquisitions said it was trading in line with expectations. The company added that it had seen revenue grow by around 7% due to underlying revenue growth of about 4%, as well as the impact of acquisitions and the disposal of its UK vending business in August last year. Bunzl also stated that acquisitions remain an important part of the Group's growth strategy. In a separate announcement, Bunzl reported the acquisition of the business of Service Paper Company in the United States. Seattle-based Service Paper is primarily engaged in the distribution of disposable supplies to the grocery, foodservice, food processor and industrial packaging sectors throughout the Pacific Northwest. Revenue of the acquired business for the year ended December 31, 2011 totalled $61 million and the gross assets purchased are estimated to be $18 million.

Bunzl PLC was incorporated in 1940 and listed on the London Stock Exchange in 1957, but its origins date back to 1854 when Moritz Bunzl opened a small haberdashery business in Bratislava, now the capital of Slovakia. Today the company is a leading specialist distribution group supplying a broad range of non-food consumable products that are essential for their customers to operate their businesses but which they do not actually sell. Active in 23 countries, Bunzl's main customer markets include grocery, foodservice, cleaning and safety, non-food retail and healthcare.

Non-Executive Chairman of Tullet Prebon, Keith Hamill, has announced his plans to retire from the board before the end of 2012. Keith Hamill has been Chairman of the money broker since it was listed in 2006. The process to identify a new Non-Executive Chairman for the company is underway, the firm said.