FTSE 100 Competition Results week 4
Mover of the week was Brian Duncan up 22 places
FTSE_100_WEEK_FOUR_RESULTS.pdf
The index opened on Monday at 7706 and closed on Friday at 7682.
The week opened with bad news for housebuilders Taylor Wimpey, Persimmon and Berkeley Group whose shares moved lower following the Competition and Markets Authority warning that the sector needs “significant intervention” amid concerns over the quality of new homes, estate management charges and planning issues. Taylor Wimpy shares came off worst falling 4.0% week on week.
Shares in Anglo American, Antofagasta and Endeavor Mining moved higher as oil prices rose due to ongoing shipping disruptions and repeated breakdowns in talks for a Gaza ceasefire that raised supply worries. Endeavor did best with 4.8% gain this week.
In midweek disappointing company news from Reckitt and St James’s Place knocked 58.04 points off the FTSE. St James’s Place value lost a massive 20.4% this week after the business warned that it had put aside £426 million which it might need to refund customers who were not given the service they were paying for over several years.
Elsewhere, shares in Dettol maker Reckitt plunged 11.6% after the company revealed that “an understatement” in its trade expenses in its system would mean a £35m hit to profits, while the business would take a £55m hit from a discrepancy in the financial reporting in its Middle East business.
Haleon, which makes brands including Panadol and Advil, initially gained over 6% after it reported higher sales but settled down to close the week up only 1%.
British Airways owner International Airlines Group (IAG) lost 3.9% pulling on the FTSE 100 despite the company reporting its highest ever annual earnings.
The FTSE 100 ended the week strongly after a good session for banks, miners and energy firms. The blue-chip index moved higher to close at 7,682.5, helped by gains for Standard Chartered and Anglo American.
Best performers this week were as follows:-
Standard Chartered +8.8% (post results optimism lifts finance giant)
Nat West Group +6.6% (broker price upgrade boosts bank)
Pearson +6.4% (education group gains after profits surge)
Vodafone +6.4% (telecom form’s Italy deal talks confirmed)
Rolls Royce Holdings +6.1% (JP Morgan lifts price target on engineer)
Poorest performers this week were the following:-
St James Place plc -20.4% (wealth manager slashes dividend)
Reckitt Benckiser Group -11.6% (Dettol maker slides as profits drop)
Ocado Group -9.9% (legal row with M&S dents delivery firm)
Whitbread plc -7.7% (cost of living fears at Premier Inn owner)
Smith & Nephew -7.7% (medical devices maker hit by profit fall)
In our Fantasy FTSE 100 competition, Mover of the week was Brian Duncan up 22 places but Ken Mackay up 18 and Liz P up 13 also made strong positive moves. On the other hand Sarah Grieve lost 21 places to 55th, Donald Mackay dropped 20 places and Veronica Mackay lost 18.
41 of our 57 entrants are still up on their initial £50,000. Zona Paton still leads but Barry moved up from 4th to 2nd to trail the leader by just £2. All the previous weeks’ leaders are still close behind and Jim Aitken moved into the top ten to be this week’s number 8. At the foot of our table Dolphin Square is replaced by Ian Grieve in 57th place.
Budget day is Wednesday so let’s see how that affects the market.
