Rolls-Royce Holdings PLC (LSE:RR.) is one of the best equity picks in Europe currently, according to analysts at Bank of America, with the capital markets day (CMD) later this month to confirm its improving fortunes.
Key will be engine flying hours, (EFH), which BofA estimates will hit 88.6% of pre-Covid levels compared to consensus forecasts of 86.5%.
Direct Line Insurance Group PLC (LSE:DLG)’s strong third-quarter performance went down a treat with investors today, with the online insurance firm surging to the FTSE 250 set.
The market was particularly impressed with the group’s performance in the motor insurance segment, which saw more than 115% in year-on-year growth.
Ryanair’s share price can rise by more than 50% , according to JP Morgan, which rates the airline as "extremely attractive".
On a short-term view, there is potential for earnings momentum to keep rising while longer-term Ryanair's cost advantage over peers will show through, says the bank.
Rentokil’s share price has fallen so far in recent weeks that it's now a 'buy' according to HSBC, even though ‘considerable’ concern remains about the longer-term investment case.
From 610p before its results a month ago, the share price is now 445p and HSBC says on a conservative view of profit progression and of returns after the Terminix acquisition, there is some upside.
All the pieces are in place for a sound year ahead for Associated British Foods PLC (LSE:ABF), going by City reactions to the Primark parent company’s full-year financials.
In today’s earnings call, the group launched a fresh share buyback and rewarded shareholders with a special dividend after reporting double-digit growth in revenue and profit.
Diageo PLC (LSE:DGE) has received a share price downgrade from analysts at Deutsche Bank, who argue that no news from Johnnie Walker and Smirnoff group is not a good sign.
True, a capital markets day is scheduled for 15 November, but Deutsche Bank believes it is unlikely Diageo will alter its medium-term guidance of 5-7% organic sales growth and 6-9% organic operating profit growth for the years 2023-25.
The acquisition of Swiss watch merchant Bucherer by Rolex has become a hot-button topic for Watches of Switzerland Group PLC (LSE:WOSG), the FTSE 250 incumbent retailer of high-end timepieces.
Watches of Switzerland shares tanked when the deal was announced in August, but following today’s second-quarter trading update, some City analysts are calling the Rolex-Bucherer merger a non-issue.
RS Group PLC (LSE:RS1) was the biggest faller in the FTSE 350 on Tuesday as its half-year revenues and profits shrank, with cash flow well below expectations.
The electronic, electrical and industrial distributor, formerly known as Electrocomponents, reported £1.45 billion of revenue for the six months to 30 September, down 8% on a like-for-like basis, while pre-tax profits plunged 30% to £126 million. Earnings per share of 19.5p were 8% below the Bloomberg consensus.