|No. of shares out||973m|
|No. of shares floating||405m|
|No. of employees||32,125|
|Trading volume (10 day avg.)||1.4m|
|Profit before tax||£477m|
|Earnings per share||26.90p|
|Cashflow per share||38.96p|
|Cash per share||25.81p|
JD Sports deserves premium rating, says Shore Capital
Record 2019 results from JD Sports (JD) show the sportswear retailer deserves to trade on a premium, says Shore Capital.
Analyst Greg Lawless reiterated his ‘buy’ recommendation on the stock after strengthening sales pushed it to double-digit growth in Europe and Asia. It is also making ‘encouraging noises’ about its US acquisition.
‘There is a clear plan to trade the US business harder, implying a significant margin opportunity,’ said Lawless.
‘The company deserves to trade on a premium rating justifying the rising valuation multiples, given the international growth prospects. JD is well managed by an established management team with good cash generation and tight stock and cost controls. Despite the recent share price appreciation of 22% in the last month, we continue to reiterate our “buy” rating.’
|No. of shares out||97m|
|No. of shares floating||79m|
|No. of employees||2,831|
|Trading volume (10 day avg.)||0.3m|
|Profit before tax||£90m|
|Earnings per share||28.27p|
|Cashflow per share||75.22p|
|Cash per share||2,537.99p|
Goodbody: no let-up over Metro woes
Shareholders in Metro Bank (MTRO) have called for senior management to go after its loans were given the wrong status but Goodbody believes it faces even more problems.
A ‘top City backer’ has told The Sunday Telegraph that either the chairman of chief executive will have to go over the loan blunder and analyst John Cronin said the shareholder was right and ‘we think it is far more likely that the chairman will have to go’.
However, the bank has further worries, namely whether it will be able to raise the capital it needs via a proposed rights issue given the loan book problem wiped 40% of the already troubled share price.
‘There is major downside risk for investors in Metro Bank if it can’t pull off this equity raise – while we wouldn’t underestimate management, we would be much more comfortable short than long,’ said Cronin.
|No. of shares out||865m|
|No. of shares floating||831m|
|No. of employees||5,497|
|Trading volume (10 day avg.)||6.6m|
|Profit before tax||156m USD|
|Earnings per share||-0.09 USD|
|Cashflow per share||0.05 USD|
|Cash per share||0.20 USD|
Petra through the worst, says Berenberg
Berenberg has upgraded Petra Diamonds (PDL) as it believes the worst is over for the miner.
Analyst Richard Hatch upgraded his recommendation from ‘hold’ to ‘buy’ and increased the target price from 23p to 25p as he believes the ‘worst is largely over for Petra and, with the free cashflow inflection beginning to occur, we think the shares will rerate in line as more stable operational and financial performance comes through’.
He said that Petra ‘still needs to rebuild investor confident’ but said operational delivery and consistent free cashflow generation over the next 18 months would reassure.
‘With operations and cashflow stabilising, we believe it is time to revisit the story and begin building a position, or adding to existing holdings,’ said Hatch.
The shares were trading at 17.8p yesterday.
|No. of shares out||272m|
|No. of shares floating||272m|
|No. of employees||10,967|
|Trading volume (10 day avg.)||0.5m|
|Profit before tax||£317m|
|Earnings per share||62.88p|
|Cashflow per share||92.26p|
|Cash per share||49.96p|
Look to 2020 for IMI growth, says Peel Hunt
The fruits of the growth plan put in place at engineer IMI (IMI) should be seen next year, according to Peel Hunt.
Analyst Harry Philips retained his ‘add’ recommendation and target price of £11 on the shares, which were trading at £10.41 yesterday.
The group’s outgoing chief executive put a five-year plan in place in 2014 to drive long-term sustainable growth, which required considerable investment.
‘The challenge for chief executive designate Roy Twite, is to, in effect, further commercialise this enhanced platform against an end-market backdrop that is set to be mixed through 2019,’ said Philips.
‘It will come, but it is more of a 2020 proposition. This is reflected in a current year price/earnings of 14.1 times which compared to a sector average of 15 times. The wait to 2020 is underpinned by a 4% dividend yield and ‘add’ continues to be the appropriate recommendation.’