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Morning Report - 16 March 2021

Yesterday’s UK 100 Leaders Price (p) % Chg
FLUTTER ENTERTAINMENT PLC 16,875.0 6.8%
ROLLS-ROYCE HOLDINGS PLC 118.0 2.7%
KINGFISHER PLC 308.3 2.5%
INTL CONSOLIDATED AIRLINE-DI 217.6 2.5%
FRESNILLO PLC 951.8 2.3%

 

Yesterday’s UK 100 Laggards Price (p) % Chg
EVRAZ PLC 554.6 -3.2%
STANDARD LIFE ABERDEEN PLC 283.6 -3.0%
M&G PLC 219.1 -2.9%
RIO TINTO PLC 5597.0 -2.6%
PHOENIX GROUP HOLDINGS PLC 721.6 -2.3%

 

Major World Indices Price % Chg 1 YEAR
UK 100 INDEX 6,750 -0.2% 31.0%
DOW JONES INDUS. AVG 32,953 0.5% 63.2%
DAX INDEX 14,461 -0.3% 56.6%
NIKKEI 225 29,921 0.5% 76.0%
S&P/ASX 200 INDEX 6,827 0.8% 36.5%

 

Commodities Units Price % Chg
WTI Crude Oil (Nymex) USD/bbl. 64.65 -1.13%
Brent Crude (ICE) USD/bbl. 68.13 -1.09%
Gold Spot USD/t oz. 1,729 -0.2%
Copper (Comex) USd/lb. 410 -1.0%

 

UK 100 is called to open +40 points this morning at 6791

1 Day; 11 Months

Click graph to enlarge

Markets Overview:

 

UK 100 is called to open +40 points this morning at 6791. Calls for a positive open this morning come as they take a lead from other global market performances and shrug off any concerns about potential side affects of the AstraZeneca vaccine as Germany, France, Italy and Spain have paused use of the coronavirus vaccine amid blood clot concerns. Stateside yesterday saw an up and down day before closing on a bullish note, with the Dow Jones and S&P 500 up 0.5% and 0.7% to new record highs. The tech centric Nasdaq Composite was strongest, up over 1% as it continues to rebound from its fall at the beginning of March.   In Asia, the Hang Seng index in Hong Kong gained 0.34% while the Shanghai Composite in China rose 0.52%.  In Japan, the Nikkei 225 lifted 0.52% and South Korea’s Kospi jumped 0.75%.

 

 

Company News & Broker Comments:

 

 

Company News:

Antofagasta report that their FY profit rose 12.3% in 2020, allowing it to increase its dividends, as copper and gold prices surged and its mines performed well despite some COVID-19 related disruption. EBITDA rose to $2.7bn (2019: $2.4bn) and they declared a final dividend of 48.5 cents per share.

 

AstraZeneca completes the divestment of its 27% stake in Viela Bio Inc to Horizon Therapeutics, receiving $775m in cash proceeds and profit from the sale. They also announce they are to supply up to 500,000 additional doses of COVID-19 treatment AZD7442.

 

Close Brothers reports a H1 adjusted operating profit of £128.5m.

 

Computacenter reported a 46.5% rise in FY pretax profit to £206.6m.

 

Ferguson has raised its dividend and announced a share buyback after posting higher HY profit, buoyed by cost control measures and strong home improvement demand in its biggest market, the USA. Underlying trading profit rose to $837m (2019: $746m).

 

Greggs reported its first annual loss since listing on the stock exchange in 1984 after the COVID-19 pandemic hammered shopper numbers. They reported a pretax loss of £13.7m (2019: £108.3m profit) as total sales fell 31% to £811m. They declared no dividend for 2020 as they need to return to higher profit and cash generation first.

 

Natwest announce that the UK FCA has begun an investigation into criminal proceedings for money laundering offences at the company between Nov 2011 and Oct 2016.

 

Plus 500 says that trading during Q1 2021 remained strong and that revenue will be driven through continued growth of active clients.

 

Wizz Air's largest shareholder, Indigo Partners is planning to sell up to £400m worth of shares.

 

Broker Comments:

Credit Suisse Upgrades Barclays to Outperform from Neutral (11 Buys / 8 Holds / 0 Sells)

 

Credit Suisse Upgrades HSBC to Neutral from Underperform (2 Buys / 10 Holds / 5 Sells)

 

Credit Suisse Upgrades Natwest to Outperform from Neutral (4 Buys / 11 Holds / 3 Sells)

 

Credit Suisse Downgrades Standard Chartered to Underperform from Neutral (10 Buys / 6 Holds / 1 Sell)

 

Jefferies Upgrades AstraZeneca to Buy from Hold (16 Buys / 3 Holds / 0 Sells)

 

 

Reporting Today:

 

4imprint Group

Antofagasta

C&C Group

Close Brothers Group

Computacenter

Elementis

Ferguson

Greggs

Just Group

Ploypipe Group

Sabre Insurance Group

TI Fluid Systems

Unite Group

 

Reporting Tomorrow:

 

Ferrexpo

 

 

In Focus Today:

 

 

US Retail Sales Control Group

US Retail Sales

EcoFin Meeting

EU ZEW Survey – Economic Sentiment

German ZEW Survey – Current Situation

 

This Week's Ex Dividends:

 

UK 100:

 

SEGRO

Anglo American

Hikma Pharmaceuticals

CRH

M&G

 

 

UK 250:

 

Dunelm Group

BlackRock World Mining Trust

Tritax Big Box REIT

Spirent Communications

 

 

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