The FTSE 100 closed higher on rising commodity prices

The FTSE 100 closed 0.6% higher on Wednesday on higher commodity prices, which masked losses in most other indexes and continental indexes, according to IG. “While the FTSE 100 has escaped losses so far today, with UK bills heading in the same direction, there are big questions about whether economies across the continent will be able to avoid a recession,” says IG.

 
Companies News: 

Pearson shares downfall as Apollo pulls buyout plans

Shares of Pearson PLC fell on Wednesday after Apollo Global Management Inc. confirmed it had no plans to make a bid for the textbook publisher after a third takeover proposal was rejected this week .

Symphony Environmental Technologies 2021 pre-tax loss widened due to higher costs

Symphony Environmental Technologies PLC said on Wednesday its 2021 pre-tax loss widened after booking higher costs, and the war in Ukraine could hurt future raw material costs as most of its products are derivatives. oil and gas.

Intercede shares rise following US government order

Shares of Intercede Group PLC rose on Wednesday after the company said it received an order from the US federal government worth $3.4 million.

Pearson shares downfall as Apollo pulls buyout plans

Shares of Pearson PLC fell on Wednesday after Apollo Global Management Inc. confirmed it had no plans to make a bid for the textbook publisher after a takeover bid that valued it at around 6.5 billion pounds ($8.51 billion) was rejected earlier this month.

Michelmersh Brick Holdings 2021 Earnings Before Tax Rose; Increase the dividend

Michelmersh Brick Holdings PLC said on Wednesday that pre-tax profit for 2021 increased, thanks to a strong gross margin performance, and that it increased its dividend payout.

Team17 2021 pre-tax profit increased; Warns of 2022 income hit by war in Ukraine

Team17 Group PLC said on Wednesday that 2021 pre-tax revenue and profit had increased, but warned that the war in Ukraine is expected to hit 2022 revenue of around 4 million pounds ($5.2 million).

Electrocomponents Sees FY2022 Revenue, Adjusted Operating Profit Margin, at Top of Consensus

Electrocomponents PLC said Wednesday it expects revenue and adjusted operating profit margin for fiscal year 2022 to be at the top of consensus, and continued to operate at the same rate as reported. March 9.

Bloomsbury sees FY2022 trading significantly ahead of improved expectations

Bloomsbury Publishing PLC said on Wednesday that trading for the 2022 financial year was significantly ahead of improved expectations after strong sales and the easing of print supply chain issues.

Keywords Studios 2021 Earnings Before Tax Rose; declare a dividend

Keywords Studios PLC said on Wednesday that 2021 pre-tax profit rose on higher demand as it expects 2022 to be a strong year for new game launches.

Polymetal suspends and delays projects in Russia

Polymetal International PLC said on Wednesday it was delaying or suspending some of its projects in Russia and cutting its exploration budget.

 
Market Talk: 

Demand from keyword studios could benefit from the growth trend in the video game industry

11:52 GMT – Keywords Studios’ 2021 results showed the company has broad exposure to an attractive industry, but at the same time it doesn’t carry the same risk as a developer or publisher, says Shore Capital. The UK investment group sees an upward trend in game development and believes that outsourcing will remain a key part of the industry, which should keep demand for Keywords’ services at high levels. “Given the group’s track record, long list of clients and global exposure, we are seeing a good cross-reading of demand,” Shore says. The shares are up 6.2% at 2,484.0 pence.

UK energy companies could come under more stress and hit bonds

11:35 GMT – UK energy firms could come under further stress, hitting bonds, although the further widening in spreads may be small, according to Capital Economics. “High wholesale utility prices and a reversal of recent oil price increases over the next two years are likely to cause more energy companies to come under stress,” said the consultancy based in London. Spreads in the energy sector have continued to rise in recent weeks, but any further rise will be “fairly small”, the report said. He has already seen a slight tightening in corporate bond spreads over the past week and points out that survey data suggests the economy has so far weathered the war in Ukraine.

Experian faces possible economic pressure in the United States

11:34 GMT – Experian is facing potential economic headwinds in the US, says Citigroup, downgrading the credit-checking firm to neutral since the purchase and its price target at 3,146 pence from 4,150 pence. Experian’s North American data business is sensitive to possible pressure on real disposable income in the United States and likely fewer real estate transactions in 2022, according to Citi. “We believe cyclical headwinds will likely make it difficult for the North American data business to achieve consensus organic growth of 8.2% for fiscal 23E,” Citi analysts said. “In an environment where U.S. real estate transactions are declining year over year, we believe 4% is more reasonable. We don’t believe consensus earnings estimates can continue to rise.” Still, Citi says Experian’s cash-generating nature and strong track record of organic growth remain attractive. The shares fell 3.6% to 2,958 pence.

Bloomsbury Publishing’s strength continues, says Peel Hunt

1100 GMT – Bloomsbury Publishing is strengthening itself as a premier publisher and has met Bloomsbury Digital Resources’ ambitious goal of £15m revenue and £5m profit by 2022, says Peel Hunt. The UK brokerage is raising its revenue forecast by 5% to £220m and its pre-tax profit will rise by around 15% to £25.3m. The strength of year-end demand is also expected to continue into 2023, he adds. Peel Hunt has a buy rating on the stock and is raising its target price by 400p to 425p. The shares are trading up 9.6% at 400 pence.

UK corporate bond spreads set to decline in coming years

10:57 GMT – Spreads on UK corporate bonds are set to decline in coming years after the recent selloff triggered by Russia’s invasion of Ukraine widened spreads, according to Capital Economics. “The lasting effects on UK corporate bonds from the war in Ukraine have so far been wider credit spreads,” the London-based consultancy says, adding that it still expects spreads tighten slightly over the next two years. The risk, however, is that higher energy costs, higher interest rates and weaker demand eat away at earnings and prompt credit spreads to widen further, he says.

Antofagasta has recovered, but inflation and country risks remain

1044 GMT – Antofagasta, like other mining stocks, has recently rebounded on rising commodity prices. However, RBC Capital Markets warns that cost inflation will hurt margins, and growing copper supply and potentially weaker demand could push copper prices down in the near term. Moreover, although new Chilean President Gabriel Boric is governing from the center, increases in taxes and royalties in Chile remain highly likely in one form or another, and the process of constitutional reform remains a greater risk, according to the Canadian bank. “Antofagasta is a well-run business, but following the recent rally, we are moving our recommendation to underperform the sector’s performance,” RBC said, cutting the target price to 1,350 pence from 1,450 pence.

Electrical components are in a strong position to invest and drive earnings growth

10:41 GMT – Electrocomponents has set out an updated and rebranded strategy to achieve its goals, UBS said. The company intends to deliver stronger revenue growth enhanced through strategic acquisitions, achieve a mid-teens adjusted Ebita margin and maintain a return on capital employed of at least 20%, against UBS estimates of around 25%. “With current trading remaining robust, implying further small consensus upgrades, we believe the company is in a strong position to invest and drive earnings growth,” the bank said. UBS is pricing the stock purchase and has a target price of 1,375 pence.

Burford appears to be high value amid strong earnings in 2021

10:33 GMT – Burford Capital’s value is too good to ignore, says Peel Hunt. The finance and asset management company’s value has been supported by its 2021 earnings as deployments expand rapidly and new solutions continually evolve, Peel Hunt said. “Covid-19 delays are decreasing and [the] peterson [case] should make visible progress this year,” the UK brokerage adds, noting that the only downside to business value it sees would be Petersen’s failure. Peel Hunt maintains its buy recommendation on the stock and has a target price of 741 pence per share.

 

Contact: London NewsPlus, Dow Jones Newswires; Write to Sarka Halas at [email protected]

 

(END) Dow Jones Newswire

March 30, 2022 12:05 p.m. ET (4:05 p.m. GMT)

Copyright (c) 2022 Dow Jones & Company, Inc.

Comments are closed.