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The Markets
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Proactive UK has moved.
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Archive

BAT, Trainline, Diageo: What brokers said today

Bitcoin’s price is expected to remain elevated in 2025, supported by a more favorable regulatory and political environment in the US, increased institutional adoption and a looser Federal Reserve monetary policy, said Deutsche Bank.

Trump's pro-crypto administration to power marked a turning point for the regulatory landscape, the bank's analysts said, but at the tart of 2025 the crypto market "stands at the crossroads of innovation and scepticism poised for further growth in the evolving global financial landscape".

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Potential bidders for WH Smith PLC (LSE:SMWH) high street chain include private equity firms Hilco and Alteri plus Modella Capital, which last year bought Hobbycraft, according to reports today.

What a private equity takeover deal would mean for the future of the WH Smith high street estate and roughly 5,000 workers is not clear, but the business has run like a PE outfit for years anyway, said analysts.

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As it announces the largest acquisition in its history, Diversified Energy Company PLC (LSE:DEC, NYSE:DEC) is a ‘buy’, according to stockbroker Peel Hunt.

DEC has not been a stranger to deal-making as M&A has driven much of its growth since it floated on the London Stock Exchange in 2016 – when it came to market with a $50 million raise and a £69 million market cap.

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Panmure Liberum has upgraded hVIVO PLC (AIM:HVO) from “hold” to “buy” following the company’s announcement of a major contract for a human challenge trial (HCT) with ILiAD Biotechnologies.

The new agreement, focused on developing a challenge model for whooping cough, is expected to generate significant revenue in the second half of the financial year ending in 2025.

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discoverIE Group PLC's (LSE:DSCV) £25.9 million acquisition of Germany-based Burster Group, with an additional £10.5 million performance-based earn-out, has drawn praise from analysts at RBC Capital.

The deal bolsters the UK electronics company’s focus on high-margin, specialised markets, investors were told.

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hVIVO PLC (AIM:HVO) contract to run a Phase III trial a human challenge model in whooping cough underlines biotech's confidence in the company's capabilities, said broker Peel Hunt.

It is the first trial to use this methodology, added the broker, and could lead to the approval of developer ILiAD’s BPZE1 vaccine.

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The cheaper and more efficient artificial intelligence model unveiled by China's DeepSeek has left technology firms around the world at a crossroads over how to press on, according to Jefferies analysts.

Citing “negative implications” for data centre builders, Jefferies said pressure was now on for firms to justify ever-increasing capital expenditure plans.

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Diageo PLC's (LSE:DGE) confirmation that Guinness or its MH stake (34%) are not for sale points to confidence that cash and returns will improve as recovery becomes visible according to US broker Jefferies.

The brokers added that the market narrative around such disposals is that they will help to unlock value through accelerating deleveraging and bringing forward buybacks.

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British American Tobacco PLC (LSE:BATS) jumped over 4% on Monday after fetching a ‘buy’ rating from UBS on likely nicotine pouch-fueled growth ahead.

Flagging BAT as its ‘top pick’ in a note, UBS also hiked the firm’s share price target from 3,000p to 3,900p.

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After worries about the perceived threat from a new open-source artificial intelligence model from Chinese startup DeepSeek hit shares in Nvidia Corp (NASDAQ:NVDA, ETR:NVD) and peers, analysts at Wedbush said it was instead a "buying opportunity" for investors in US big tech.

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Trainline PLC (LSE:TRN) took a hit on the Government's plans to consolidate train operating companies' ticketing websites, but UBS believes the extent of the fall has been overdone.

Retailers can operate in an "open and fair manner", which UBS understands to mean the Government will not be able to undercut on pricing.

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