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The Markets
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The Markets
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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Lloyds, Barclays, ITV, M&S and more: What brokers said today

Bank of America analysts reiterated their buy rating on Google parent Alphabet Inc (NASDAQ:GOOG) stock following the annual Marketing Live event on Monday.

During the event, Google announced that it will begin testing search and shopping ads in AI Overviews, which provide an AI-generated snapshot with key information and links to resources that support the information in the snapshot.

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European energy companies considering relocating their primary listing to the bright lights of New York may find it "counterproductive", UBS thinks, though undoubtedly there are some short-term valuation benefits.

The US market "carries a lower discount on oil & gas assets, provides more access to capital with fewer ESG constraints", the Swiss bank acknowledged.

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Direct Line’s capital market day on 10 July should act as a positive catalyst for the shares and highlight its scope for substantial shareholder payouts, says UBS.

According to the Swiss bank, the insurer is set to announce an attractive regular dividend yield, £300 million in share buybacks plus further initiatives on cost savings and a channel shift of the Direct Line Brand.

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Naked Wines PLC (AIM:WINE, OTCQX:NWINF)’s full-year update on Tuesday struck a “reassuring” tone as the company prepares for a key year ahead, Liberum analysts said.

Citing a 13% fall in revenue to £290 million, alongside pre-tax earnings of £5 million and £20 million in net cash, Liberum said results had been as expected in a note.

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Mitchells & Butlers PLC (LSE:MAB) has had profit forecasts increased by Peel Hunt brokers after reporting strong interim results on Wednesday.

Reiterating a ‘buy’ rating, Peel Hunt said it had lifted estimates by 9% following the results, or £15 million a year.

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ITV’s point of interest in its latest update was the solid 12% advertising growth forecast for the second quarter boosted by a strong programme grid including the '24 Euros, said Deutsche Bank.

While the weakness in the Studios business is expected to continue into quarter two, management added that the arm’s revenue would be flat for the year, implying an improved delivery schedule over the remainder of the year, noted the bank.

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Shares in AstraZeneca PLC (LSE:AZN) were trading just off their all-time high as leading analysts provided a largely positive assessment of its growth plans, the highlight of which was a 2030 revenue target of $80 billion - a 75% increase on last year's total.

There were some reservations following the drugs giant's investor day hosted by CEO Pascal Soriot, notably around its aspirations to grow the operating profit margin to 35%.

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European banks outperformed consensus expectations for the 15th consecutive quarter over the first three months of the year, Jefferies analysts have pointed out.

Aggregate pre-tax profits came in 9% above consensus, driven by higher revenues and lower credit costs, analysts said in a note.

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Barclays PLC (LSE:BARC) could be poised to deliver higher-than-expected revenue on stronger credit card and net interest income margins, Jefferies analysts believe.

“Increased management attention could have important ramifications,” Jefferies said in a note, highlighting Barclays' plans to add £30 billion of risk-weighted assets to its UK operations.

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Marks and Spencer Group PLC (LSE:MKS) rose 8% to around a six-year higher after its profits beat forecasts, with analysts hailing the significant strategic progress.

Pretax earnings were £716 million, up 58% year-over-year. The group declared a final dividend of 2p, making for a full-year payout of 3p after profits and cash flow jumped.

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