Equities are up a little in early trading but are still well off recent highs. Click here for The Trader Nicole Elliott’s latest take on the markets.
IC TIP UPDATES:
Pubs group JD Wetherspoon (JDW) posted revenue growth of 10 per cent for the year to 27 July with like for like sales up 5.5 per cent. But profit growth was more modest at 3.1 per cent. We keep our buy rating.
Costain (COST) has been appointed by Southern Water to deliver its 2015-2020 investment programme, a deal which could be worth £200m over the five year period. Galliford Try (GFRD) has also been appointed by Southern Water and estimates its contract could be worth £215m over the same period. We keep our buy on both Costain and Galliford.
Miner Fresnillo (FRES) is to pay $450m for the 44 per cent stake it does not already own in the Penmont joint venture which owns a number of mines in Mexico’s gold belt. We maintain our buy recommendation.
Simon Thompson recommendation Naibu Global International (NBU) increased revenues by 8.4 per cent in the first half of its financial year but profits reduced slightly to approximately £19.7m as margins were hit by increased competition.
KEY STORIES:
Hyder Consulting's (HYC) Japanese suitor Nippon Koei Company has withdrawn its offer for the company on valuation grounds, leaving the way clear for Arcadis, which has had an offer of 750p recommended by the Hyder board.
Online fashion retailer Boohoo.com (BOO) says sales have grown by 31 per cent in the six months to August with revenue growth having accelerated during the second quarter when UK sales grew by 50 per cent, European sales by 61 per cent and rest of the world sales by 8 per cent at constant exchange rates.
Great Portland Estates (GPOR) has exchanged contracts to sell 125 apartments in its Rathbone Square development for £207.2m.
Wireless testing equipment specialist Anite (AIE) says first quarter trading was ahead of last year with Handset Testing showing stronger growth than last year but Network Testing being hit by weakness in the US coupled with currency movements.
OTHER COMPANY NEWS:
Photo booth business Photo-Me International (PHTM) says profitability has improved to the tune of 25 per cent at constant exchange rates in the period since 1 May on a small increase in turnover.
Software group Aveva (AVV) says first half figures will be hit by currency movements and meeting revenue expectations of £84m-£90m is still dependent on the timing of contracts.
Avanti Communications (AVN) has won a contract with Orange Telekom Kenya for a national deployment.
