Skip to main content
The Markets by Proactive
Go to Proactive UK

Hardware & electrical equipment

discoverIE Group shares rise 6% after electronics group reassures on earnings

Shares in discoverIE Group PLC (LSE:DSCV) rose 6% in early deals after the company maintained its earnings guidance after a resilient first half - and against a tough backdrop.

Key among drivers was commentary around the operating margin, which is on track to be at 13.5% by the year-end and 15% in the longer term. Analysts at Jefferies said, "this will likely drive a more resilient earnings backdrop than the Street will be expecting, in our view".

In its trading update, the specialist electronics group also reported a moderating of de-stocking, a cyclical process that happens when customers are trying to rein spending, allied to promising news on design wins, which it described as "a key forward-looking barometer".

discoverIE shares rose 5.9% to 635.53p.