Close Brothers Group PLC's (LSE:CBG) share price target has been reduced by UBS from 460p to 250p due to concerns over rising motor finance remediation costs following recent regulatory and legal developments.
UBS analysts believe Close Bros could be liable for up to £400 million in remediation tied to its former motor finance practices, although the bank is taking the fight to the Supreme Court.
If Aviva PLC (LSE:AV.) does eventually take over Direct Line Insurance Group PLC (LSE:DLG) the acquisition could significantly accelerate its move toward capital-light earnings, according to UBS.
Aviva has offered roughly £2.50 per share for Direct Line, a 55% premium on its recent share price, with the deal structured as part cash and part Aviva shares.
BT Group PLC (LSE:BT.A) has been highlighted as one of JP Morgan’s top value picks in its latest outlook on the European telecoms sector.
The investment bank sees significant potential for BT, citing improving growth prospects, easing capital expenditure, and expected regulatory shifts that could drive further upside. It also highlighted other top picks such as Deutsche Telekom and Orange.
Shares in renewable energy generator SSE PLC (LSE:SSE) were up 1.8% mid-afternoon after an upgrade by an upgrade by Deutsche Bank, which has moved its recommendation 'buy', citing its attractive valuation and strong growth prospects.
The shares, trading at 1,783p, are valued at a 2026/27 earnings multiple of just 9 times, one of the lowest in the sector, Deutsche Bank said, maintaining its price target at 2,000p,
THG PLC (LSE:THG) shareholders appeared to welcome details from the retailer over the planned spin-off of its Ingenuity digital and logistics arm on Thursday.
Shares in the MyProtein owner, having sunk to a two-year low last week, surged 5.5% to 45.69p after the update, which delved into plans promising to create a more profitable business comprising of THG’s beauty and nutrition wings.
Construction group Galliford Try Holdings PLC (LSE:GFRD) has confirmed its trading gels with recently upgraded expectations in an update ahead of its annual meeting.
The company highlighted a resilient market environment and a strong pipeline of opportunities that adhere to its disciplined bidding criteria.
After Aviva PLC's (LSE:AV.) £3.3 billion takeover offer for Direct Line Insurance Group PLC (LSE:DLG) was rejected, another bid is a "distinct possibility", according to analysts.
The pair confirmed that an indicative cash and shares offer had been made, following press speculation, made up of 112.5p cash plus 0.282 new Aviva shares.
The decision by Morrison Supermarkets to reduce its use of Ocado Group PLC's (LSE:OCDO) robot-run warehouses is another example of grocery chains around the world scaling back expansion plans with the online delivery specialist, according to analysts at AJ Bell.
“The ground beneath Ocado’s feet continues to crumble," they said, following decisions by several clients in the US and Canada.
Tesco PLC (LSE:TSCO) and J Sainsbury PLC (LSE:SBRY) shares moved higher on Thursday morning following double-upgrades by JP Morgan.
Both were lifted to ‘overweight’ from ‘underweight’ by the US bank in a note that highlighted potential upside in the UK’s grocery sector.