Equities are taking a little bit of a breather following yesterday’s surge. Click here to find out what The Trader Nicole Elliott thinks of the markets.
IC TIP UPDATES:
Retailer Ted Baker (TED) has revealed a buoyant set of half year results in which revenues leapt by 24.5 per cent to £226.8m and profits by 14.6 per cent to £17.8m. The company posted strong sales growth in all its main operating regions as well as continued strong growth in e-commerce sales. Buy.
Recruiter Robert Walters (RWA) posted its seventh successive quarter of double digit growth in the three months to end September with group net fee income up 11 per cent year on year with the UK and Europe particular strong spots. We keep our buy rating.
Construction specialist Galliford Try (GFRD) has been named preferred bidder for the £72m East Lothian Community Hospital. We maintain our buy recommendation.
Asset manager Liontrust (LIO) says it performed well against tough market conditions in the three months to end September during which time it saw a net inflow of funds of £117m. Buy.
Simon Thompson recommendation Stanley Gibbons (SGI) has reiterated its warning on performance in the first half and although management expects a much stronger second half to the year it has today confirmed that it now does not expect to meet full year expectations.
Construction and engineering consultancy specialist Driver Group (DRV) reports that second half trading has produced record revenues due to a combination of organic growth and contributions from acquisitions. Market conditions are said to be buoyant although profits for the year to September will be affected by a £450,000 hit from the closure of the Redcar steel works and adverse currency impacts. We repeat our recent buy recommendation.
Avon Rubber (AVON) reports that it ended its financial year strongly, boosted by a late order for a Middle Eastern customer for respirators, and this means that results will now outstrip expectations. Buy.
Marketing services business St Ives (SIV) grew underlying revenues by 5 per cent in the year to July with underlying profits rising 10 per cent to £33m. Buy.
Another Simon Thompson recommendation, Software Radio Technology (SRT) says it recorded revenues of £3.6m and losses of £700,000 in its first half and has an order book worth £3.6m already booked for delivery in the second half.
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Brewer SABMiller (SAB) reports that sales have been strong in core emerging markets such as Latin America and Africa but currency movements hit reported figures sending a constant currency 6 per cent improvement in second quarter net producer revenue into a loss of 9 per cent at actual exchange rates.
A number of key investors in Betfair (BET) have sold a total of £260m worth of shares in the company in advance of its proposed merger with Paddy Power.
Baker and convenience food specialist Greggs (GRG) posted third quarter like for like sales growth in its own shops of 4.9 per cent, giving year to date growth of 5.6 per cent.
Healthcare business BTG (BTG) says that half year revenues are likely to be in the lower half of the previously indicated £410m-£440m range. Licensing revenues have seen decent growth while specialty pharmaceuticals revenues are similar to last year.
UKMail (UKM) reports that despite challenging market conditions it has grown reported revenues by 4 per cent in the first half with parcels volumes up by 8 per cent and average daily mail volumes up by the same amount.
Empiric Student Property (ESP) confirmed that it managed to complete and open five new properties in time for the 2015/16 academic year with another property in Newcastle not open yet but covered by a rental guarantee from the developer. In aggregate this will add 531 beds by the end of 2015 with another 970 beds under development for September 2016 and 897 more contracted for the following year.
