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Dollar still fuelling FirstGroup

The rail and bus operator reports results next week and, given the high proportion of dollar earnings here, they should be good
May 25, 2017

FirstGroup (FGP) shares are up by a not-insignificant 37 per cent over the past 12 months, so investors will be keen to see what has driven this growth when the company reports results next week. At last count, it was the North American businesses that were fuelling earnings, particularly as they benefited from translation into the company's reporting currency - sterling.

IC TIP: Buy at 149p

On home soil, investors will be interested to see how well the board is managing costs in order to support margins, particularly in light of temperamental top-line growth.