CMC Markets PLC (LSE:CMCX) tumbled 12% as the spread better got marks for brevity but scored less well for what was said in its two-sentence trading update.
In the period from 1 October 2024 to 31 December, CMC said it was on track “to achieve annual net operating income in line with previous guidance”.
“Management also remains confident in meeting its cost guidance of approximately £225 million, excluding variable remuneration and non-recurring charges,” concluded the update.
Broker Panmure Liberum added that CMC’s very brief update guides to “trading in line with mixed performance in trading, but better trading in the smaller Investing business”.
“The B2B strategy/Revolut contract is exciting, but disclosures need to improve and, combined with the fact CMC screens worse than peers on key metrics, the shares look expensive given the premium to both IG and Plus500.”
Sell with a 210p target, said the broker.
Shares fell 12% to 233.5p.