UK 100 equity research

Explore the most viewed and latest equity research and media content for the top 100 largest listed companies in the UK.


 

UK 100 Equity Research

Broker research, valuations, & analysis on the UK 100

  • 15 May 18

A correct H2 but a slightly disappointing new guidance and... Colao's departure

In terms of service revenues, Q4 was quite as expected with organic growth at constant change of 1.4%, slightly better than the +1.1% recorded in Q3 but lower than the 2% recorded in H1. European growth, which had moderated to 0.3% in Q3, was 0.6% (excluding the positive impact of a legal settlement in Germany). Note that, in Europe, the increased drag from roaming regulation was completely offset by an improved global performance in mobile. In parallel, growth in AMAP was still strong at +7.7% during the quarter (vs 6.8% in Q3) but it was completely offset in reported terms by an 1.5ppt adverse impact from FX (particularly with regards to the Turkish lira). Note the group’s revenue for the whole year declined by 2.2% yoy in reported terms, primarily due to the deconsolidation of Vodafone Netherlands following the creation of the JV VodafoneZiggo and FX. Like in H1, the good news came from the EBITDA which was up organically by 10.6% yoy. Excluding the negative impact of net roaming declines in Europe and the benefits in the UK from the introduction of handset financing and regulatory settlements in the period, organic adjusted EBITDA grew by a solid 6.5% (lower, however, than the impressive +9.3% recorded in H1) with a broad-based EBITDA improvement in 20 out of Vodafone’s 25 markets. The group which had raised its full-year guidance to +10% last November (vs +4-8% previously) has eventually exceeded its target with an annual organic EBITDA growth of 11.8%. But the bad surprise was the announcement in parallel of the succession plan for the CEO. Effective from 1 October 2018, Vittorio Colao will be succeeded by Group CFO Nick Read. So it won’t be Colao(who was very much appreciated by investors) who will manage the recent big acquisitions made by the group (see our latest “_A brilliant deal which deserved a high price_”). As for 2018/19, the group expects EBITDA growth of 1-5%, excluding the impact of UK handset financing in both years, and the significant benefit in the prior year from regulatory settlements in the UK and a legal settlement in Germany. It’s a guidance that is a little bit disappointing, corresponding (on guidance FX rates) to an adjusted EBITDA range of €14.15-14.65bn for the year (we have €14.8bn in our model). Finally, note the final dividend per share of €0.1023, up 2%, giving the total dividends per share for the year of €0.1507. The board still intends to increase dividends per share annually.

Companies: Vodafone Group
  • 10 May 18

2% FY 19 PBT Guidance upgrade

Overall Next has benefited from weak comparatives as anticipated plus some late period weather effects which have combined to allow full-year PBT guidance to be raised by 2%. The numbers highlight the structural issues facing both Next and UK Retail in total. While the online Full Price sales growth of 18.1% was much better than we expected (+12%) Retail (the shops) were down 4.8% against a very weak comparative of -8.1% despite the weather boost.

Companies: NEXT
  • 10 May 18

Acceleration in Q1

Next has released great acceleration in Q1 and has upgraded its full-year guidance. Full-price sales increased by 6% and full-year sales are expected to grow by 2.2%.

Companies: NEXT
  • 16 May 18

Some light in sight

Burberry has increased its retail sales by 3% at CER but wholesale excluding the beauty business was flat. Operating profit was up 4%. Restructuring actions are progressing with promising first signs. A buy-back programme of £150m was announced along with a cash dividend.

Companies: Burberry Group
  • 09 Apr 18

UK Housebuilding Sector

This ominous-sounding term originated from the work of famed Swedish meteorologist, Tor Bergeron (1897-1977), but it only entered popular vernacular this year – and there have been ample opportunities in 2018 to use it.

Companies: ABBY BDEV BWY BKG BVS CRN CSP CRST GLE INL MCS PSN RDW SPR TW/ TEF WJG

  • 11 May 18

An unchanged dividend in the next three years

Q4 sales at end March were down by 3% yoy (like in Q3 but they were flat in H1) with still a good performance by EE (+5%) but a continued sharp revenue decrease of 13% in Global Services. Q4 EBITDA was up by 1% yoy, a correct number compared to the 2% decline recorded in Q3 but the annual EBITDA at £7.5bn was towards the low end of the £7.5/7.6 guidance given by the group for the full year. Note, beyond a good 13% increase on the consumer side, that EE’s EBITDA was again up by 5% this quarter and not down by 6% like in Q3 (this was due to higher customer investment costs following the launch of new, premium smartphones and watches). Management has also given an expected poor outlook for 2018/19. Revenue should be down by 2% yoy mainly as a result of significant regulatory price reductions in Openreach (last March, Ofcom issued its final statement on the Wholesale Local Access Market Review). The group also expects an impact from its decision to de-emphasise lower margin products, particularly in the enterprise businesses. In parallel, EBITDA is expected to be in the range £7.3-7.4bn (we had currently £7.4bn in our model) corresponding to a c.2% decrease. Note also that capex should be higher in 2018/19 than what we expected, at around £3.7bn. It should remain at this level in 2019/20 as the business increases network investment through Openreach’s Fibre First programme and further 4G and 5G mobile network build. So, very logically, the Board has decided to hold the dividend unchanged for this year at 15.4p per share. The Board also expects to hold the dividend unchanged in respect of the next two financial years, given the outlook for earnings and cash flow over this period. Not at all enough to make investors dream, while most European telcos are more likely to increase theirs. Even if the free cash flow in 2017/18 was £2,973m (up by almost £200m yoy due to favourable working capital movements), note that for 2018/19 the group expects a free cash flow of £2.3-2.5bn. So there are no worries in the short term about BT’s no longer “progressive” dividend.

Companies: BT Group
  • 10 Apr 18

Hard Work

We look at Directory/Online relative under-performance in the UK online clothing market and consider the implications for future recruitment behaviour. Next continues to run this business to maximise returns from existing customers. With its Retail business going backwards rapidly and an already-high EBIT margin in ND/NO Next needs to change its behaviour in terms of growing its sales base more rapidly online in our opinion. We are not sure this will happen. We retain our sell rating.

Companies: NEXT
  • 11 May 18

A brilliant deal which deserved a high price

Vodafone agreed two days ago to acquire Liberty Global’s operations in Germany, the Czech Republic, Hungary and Romania for an EV of €18.4bn. This deal values the acquired operations at 10.9x their current EBITDA before synergies but management expects to generate cost and capex synergies before integration costs of €535m per annum by the fifth year after completion (thus valuing these activities at 8.6x their future EBITDA before integration costs). Vodafone intends to finance the acquisition using existing cash, new debt facilities (including hybrid debt securities) and around €3bn of mandatory convertible bonds.

Companies: Vodafone Group
  • 14 May 18

Q1 chill boosts Centrica's retail activities, outlook confirmed

Centrica released a short Q1 trading update. Centrica’s management said that the overall performance has been good in the year to date, driven by higher demand for gas following the colder weather and confirmed its set of FY targets (including the 12p dividend), with revenue growth expected to be weighted towards the second half of the year.

Companies: Centrica
  • 17 May 18

US-driven FY17

National Grid reported a good set of FY17-18 results, driven by the US activities, which posted a +20% increase in underlying operating profit fuelled by the 7% rate base growth and favourable rates renewals during the period. The board proposed a FY dividend of 45.93p, up c.3.7%, in line with RPI. The company provided a reassuring outlook and expects growth at the top end of the guided 5-7% range for the medium term, driven notably by the US market.

Companies: National Grid
  • 17 May 16

Positive figures but Brexit still ahead

Land Securities published its FY16 (end March) results. Profit stood at £362m, up 10% yoy, or an adjusted EPS of 45.7p and the dividend was increased by 9.9% to 35p. Basic NAV gained 10.3% yoy to 1482p. Occupier conditions remained strong, with footfall up 3.4% vs a decrease of 1.3% at the national level, and same store sales gained 1.5%, also ahead of the benchmark.

Companies: Land Securities Group
  • 12 Jul 16

‘Billions’ - UK Housebuilding Sector - Q2: Summer 2016

The pilot episode of the much-hyped new TV series ‘Billions’ raked up almost three million viewers on debut in January of this year, which was a new record for Showtime. It is a sort of ‘Wall Street’ for a post Global Financial Crisis (GFC) audience. Damian Lewis heads the cast together with Paul Giamatti - and, the often parsimonious, IMDb has awarded the programme a premium 8.4 score. Lewis’s character Bobby Axelrod is an ambitious hedge fund manager and the sole survivor of the part-eponymous, Axe Capital, during the 9/11 attacks. Bobby is clever, charismatic and charitable (but not whiter than white). He is also very rich, lives in a nice house and knows what ‘billions’ is/are - and has a few himself; albeit these billions tend to slip in and out of his grasp, as is their wont. The UK Housebuilding Sector is also ambitious and survived the collapse of Lehman Brothers and the ensuing Global Financial Crisis. Similarly, it is smarter and wealthier than it has ever been; and, yes, charitable but not atramentous. It is also in award- winning form, which is a good job as it acts out another palpable crisis - the Brexit vote - and a £9 billion loss of value in six trading days. But do not despair.

Macros: Housing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing MarketHousing Market
  • 20 Sep 16

Non-Life Insurance - Monte Carlo, plus ça change

The Monte Carlo Rendez Vous saw lots of discussion about the mixed outlook for reinsurance. In truth, there was little new news. Reinsurance rates are still under downward pressure but talk of a floor is getting louder. This may well happen in 2017, especially for US cat rates, but having reached the nadir, we could stay there for a while until the issues of surplus capacity, limited demand growth, low interest rates and benign loss activity are addressed.

Companies: Swiss Re Lloyds Banking Group

  • 18 Jul 16

Political risk over-hang

Mixed messages from UK and EU governments already highlight a potential for on-going political risk, with any sector volatility accentuated by Solvency II. With significant value in the sector we would look to now buy shares with strong fundamentals to be confirmed by upcoming results.

Companies: ALV CS PRU LGEN PHNX

  • 26 Sep 17

Betting on e-mobility

At the recent Capital Markets Day, JMAT announced an up to £200m initial investment in battery material technology in order to build capacity starting in mid 2018. Furthermore, the company announced an additional £50m of savings, mainly from procurement, over a three-year period starting in 2018/19, on top of the £25m savings announced earlier this year.

Companies: Johnson Matthey
  • 13 Apr 17

London Stock Exchange - Companies to Inspire Africa

london-stock-exchange-companies-to-inspire-africa-13-04-2017
  • 20 Apr 17

Geoff Drabble, Ashtead Group CEO

Premium

Generic thumbnail
  • 03 Jun 15

Clinova - ELITE at London Stock Exchange

clinova-elite-at-london-stock-exchange-03-06-2015
  • 03 Jun 15

Guidance Marine - ELITE at London Stock Exchange

guidance-marine-elite-at-london-stock-exchange-03-06-2015
  • 04 Jul 14

Executive Interview - Rolls-Royce

executive-interview-rolls-royce-04-07-2014
  • 02 Jun 15

Marmalade Technologies - ELITE at London Stock Exchange

marmalade-technologies-elite-at-london-stock-exchange-02-06-2015
  • 16 Sep 15

Alkane Energy - Recommended cash offer

alkane-energy-recommended-cash-offer-16-09-2015
  • 02 Jun 15

Swoon Editions - ELITE at London Stock Exchange

swoon-editions-elite-at-london-stock-exchange-02-06-2015
  • 14 Feb 17

London Stock Exchange Group - Your Guide to ESG Reporting

london-stock-exchange-group-your-guide-to-esg-reporting-14-02-2017
  • 02 Jun 15

Workshare - ELITE at London Stock Exchange

workshare-elite-at-london-stock-exchange-02-06-2015
  • 09 Sep 15

Alkane Energy - Interim Results

alkane-energy-interim-results-09-09-2015
  • 02 Jun 15

RealityMine- ELITE at London Stock Exchange

realitymine-elite-at-london-stock-exchange-02-06-2015
  • 02 Jun 15

Smarkets - ELITE at London Stock Exchange

smarkets-elite-at-london-stock-exchange-02-06-2015
  • 02 Jun 15

Independent Vetcare - ELITE at London Stock Exchange

independent-vetcare-elite-at-london-stock-exchange-02-06-2015
  • 14 Jun 17

NHAI - Market open

nhai-market-open-14-06-2017

Latest Content

ECHO SDX AAOG BP/

GMP FirstEnergy ― UK Energy morning research package

Echo Energy (ECHO LN) (not covered): Gas discovery at ELM-1004 | SDX Energy (SDX LN/CN)1,6: BUY, £0.80; Excellent Ibn Yunus-1X flow test in Egypt | Anglo African Oil & Gas (AAOG LN) (not covered): £7.4 mm Placing | BP (BP LN) (not covered): Potential asset swap in the UK

 View

  • 18 May 18
  • -
  • -

National Grid

US-driven FY17

National Grid reported a good set of FY17-18 results, driven by the US activities, which posted a +20% increase in underlying operating profit fuelled by the 7% rate base growth and favourable rates renewals during the period. The board proposed a FY dividend of 45.93p, up c.3.7%, in line with RPI. The company provided a reassuring outlook and expects growth at the top end of the guided 5-7% range for the medium term, driven notably by the US market.

 View

  • 17 May 18
  • -
  • -

Burberry Group

Some light in sight

Burberry has increased its retail sales by 3% at CER but wholesale excluding the beauty business was flat. Operating profit was up 4%. Restructuring actions are progressing with promising first signs. A buy-back programme of £150m was announced along with a cash dividend.

 View

  • 16 May 18
  • -
  • -

Vodafone Group

A correct H2 but a slightly disappointing new guidance and... Colao's departure

In terms of service revenues, Q4 was quite as expected with organic growth at constant change of 1.4%, slightly better than the +1.1% recorded in Q3 but lower than the 2% recorded in H1. European growth, which had moderated to 0.3% in Q3, was 0.6% (excluding the positive impact of a legal settlement in Germany). Note that, in Europe, the increased drag from roaming regulation was completely offset by an improved global performance in mobile. In parallel, growth in AMAP was still strong at +7.7% during the quarter (vs 6.8% in Q3) but it was completely offset in reported terms by an 1.5ppt adverse impact from FX (particularly with regards to the Turkish lira). Note the group’s revenue for the whole year declined by 2.2% yoy in reported terms, primarily due to the deconsolidation of Vodafone Netherlands following the creation of the JV VodafoneZiggo and FX. Like in H1, the good news came from the EBITDA which was up organically by 10.6% yoy. Excluding the negative impact of net roaming declines in Europe and the benefits in the UK from the introduction of handset financing and regulatory settlements in the period, organic adjusted EBITDA grew by a solid 6.5% (lower, however, than the impressive +9.3% recorded in H1) with a broad-based EBITDA improvement in 20 out of Vodafone’s 25 markets. The group which had raised its full-year guidance to +10% last November (vs +4-8% previously) has eventually exceeded its target with an annual organic EBITDA growth of 11.8%. But the bad surprise was the announcement in parallel of the succession plan for the CEO. Effective from 1 October 2018, Vittorio Colao will be succeeded by Group CFO Nick Read. So it won’t be Colao(who was very much appreciated by investors) who will manage the recent big acquisitions made by the group (see our latest “_A brilliant deal which deserved a high price_”). As for 2018/19, the group expects EBITDA growth of 1-5%, excluding the impact of UK handset financing in both years, and the significant benefit in the prior year from regulatory settlements in the UK and a legal settlement in Germany. It’s a guidance that is a little bit disappointing, corresponding (on guidance FX rates) to an adjusted EBITDA range of €14.15-14.65bn for the year (we have €14.8bn in our model). Finally, note the final dividend per share of €0.1023, up 2%, giving the total dividends per share for the year of €0.1507. The board still intends to increase dividends per share annually.

 View

  • 15 May 18
  • -
  • -

easyJet

Strong H1 and sound new strategy

EasyJet reported very strong H1 results in a usually weak period of the year. This performance was supported by its leading position at primary and constrained airports, but was also helped by a calendar effect linked to Easter. Its main operating lever in H2 18 is the integration of Berlin Tegel airport slots and former Air Berlin aircraft.

 View

  • 15 May 18
  • -
  • -

Centrica

Q1 chill boosts Centrica's retail activities, outlook confirmed

Centrica released a short Q1 trading update. Centrica’s management said that the overall performance has been good in the year to date, driven by higher demand for gas following the colder weather and confirmed its set of FY targets (including the 12p dividend), with revenue growth expected to be weighted towards the second half of the year.

 View

  • 14 May 18
  • -
  • -

FOURSPRPNXTDEMGPHDVTUTRINFFIFCRMXPP

Most popular equity research this week | 7 - 11 May

See what's trending this week...

 View

  • 11 May 18
  • -
  • -

Royal Bank Of Scotland Group

Path to dividend payment resumption cleared

The proposed settlement stands significantly below expectations but this is also true as regards the dedicated provisioning. As a result, the net uplift on the valuation appears pretty limited, thus explaining the relatively tepid share price reaction. The two prerequisites to engage discussions with the PRA about dividend payment resumption have now been cleared. However, this will be largely symbolic, with limited implications on the valuation in our view.

 View

  • 11 May 18
  • -
  • -

Vodafone Group

A brilliant deal which deserved a high price

Vodafone agreed two days ago to acquire Liberty Global’s operations in Germany, the Czech Republic, Hungary and Romania for an EV of €18.4bn. This deal values the acquired operations at 10.9x their current EBITDA before synergies but management expects to generate cost and capex synergies before integration costs of €535m per annum by the fifth year after completion (thus valuing these activities at 8.6x their future EBITDA before integration costs). Vodafone intends to finance the acquisition using existing cash, new debt facilities (including hybrid debt securities) and around €3bn of mandatory convertible bonds.

 View

  • 11 May 18
  • -
  • -

Tui

Solid Q2: on track to deliver its FY growth target

Q2 18 revenue was up +6.3% to €3.3bn and the underlying EBITA loss has improved from €157m to €134m, both broadly in line with consensus and our expectations. Management reiterated 2018 guidance: • Revenue growth at c. +3% (lfl, CER); • Underlying EBITA to grow at least 10%.

 View

  • 11 May 18
  • -
  • -

Real-time access to the latest equity research, for the first time.

📑🔎📊📈

Historically, Private Investors have had access to significantly less professional investment research and information than institutions, funds, and banks. At Research Tree, we're trying level that playing field by aggregating the latest equity research & video content from over 400 analysts at 34 City brokerages and research houses in one platform. 

 

Our goal is simple: provide retail and non-institutional investors with full access to the latest valuations, target prices, analysis, and financial models on the companies they care about, in real-time.

 

Our Partners

🏛

Research Tree aggregates the latest equity research from over 400 analysts at 34 City brokerages and research houses in one platform, giving users full access to the latest valuations, target prices, analysis, and financial models on the companies they care about, in real-time.