Man, the hedge fund group which recently announced plans to acquire US peer GLG Partners, lured the bulls with an impressive set of full-year results yesterday. The shares surged by more than 10% per cent on news that funds under management, despite being hit by the weakness in the euro, were broadly unchanged from the levels seen at the end of March. The fear is that if Europe's problems escalate, financials of all stripes could be caught in the crossfire as investors flee to safe havens. So, hold for now says the Independent.
The second half of the newly demerged Cable & Wireless double act put out its maiden full-year results yesterday. Cable & Wireless Communications looked good, too, following its demerger from Cable & Wireless Worldwide earlier this year. Net debt is better than expected at $664m and cash flow is strong. On 10.4 times estimated 2010 earnings, the shares will go higher. Buy says the Independent.
In the words of its new chief executive, Keith Jones, yesterday, JJB "faced a fight for survival" last year, although a series of restructuring measures safeguarded its future. But JJB has restocked its shelves, including its World Cup and seasonal ranges. In addition to next month's football extravaganza in South Africa, JJB will also receive a huge boost from the 2012 Olympics. JJB is worth backing. Buy says the Independent. The Times adds it's a buy for flag wavers.
Instead of focusing on volatile sugar, in future Tate & Lyle will be focusing on its value-added ingredients business, prices of which are less exposed to sharp moves in commodity markets. This gives more reliable – and hopefully larger – margins over the next few years. The shares are trading on a March 2011 earnings multiple of 10 times, falling to 9.1 in 2012. The shares remain a hold for the yield says the Telegraph.
What was missing from yesterday’s statement was a really detailed outlook for the next year. While profits are likely to rise given the stronger dollar (most of Tate & Lyle’s business is done in the US) and the exceptional charges incurred this year, the environment for ethanol, industrial starch and corn gluten feed remains uncertain. The rating of 10.7 times last year’s earnings also seems rather full. Until the strategy becomes clearer, hold says the Times.
With the value of London & Stamford's property portfolio up by 17% this year, a cautious approach to new purchases and the tax break brought by becoming a Reit in the offing, it remains a buy says the Times.
Antofagasta's first-quarter results, released yesterday, saw turnover rise to $981.9m (£677m) from $544.5m as copper prices rose. The average London Metal Exchange copper price during the first quarter was 328.6c per pound, more than double the 155.8 cents per pound at the same time last year. So-called "core earnings," which strips out interest, tax and one-offs, rose 136% to 623.4m. Fundamentals of the mining sector are sound. This is especially true for copper, which has one of the tightest supply-side constraints in metals. Buy says the Telegraph.
Instead of focusing on volatile sugar, in future Tate & Lyle will be focusing on its value-added ingredients business, prices of which are less exposed to sharp moves in commodity markets. This gives more reliable – and hopefully larger – margins over the next few years. The shares are trading on a March 2011 earnings multiple of 10 times, falling to 9.1 in 2012. The shares remain a hold for the yield says the Telegraph.
What was missing from yesterday’s statement was a really detailed outlook for the next year. While profits are likely to rise given the stronger dollar (most of Tate & Lyle’s business is done in the US) and the exceptional charges incurred this year, the environment for ethanol, industrial starch and corn gluten feed remains uncertain. The rating of 10.7 times last year’s earnings also seems rather full. Until the strategy becomes clearer, hold says the Times.With the value of London & Stamford's property portfolio up by 17% this year, a cautious approach to new purchases and the tax break brought by becoming a Reit in the offing, it remains a buy says the Times.
Antofagasta's first-quarter results, released yesterday, saw turnover rise to $981.9m (£677m) from $544.5m as copper prices rose. The average London Metal Exchange copper price during the first quarter was 328.6c per pound, more than double the 155.8 cents per pound at the same time last year. So-called "core earnings," which strips out interest, tax and one-offs, rose 136% to 623.4m. Fundamentals of the mining sector are sound. This is especially true for copper, which has one of the tightest supply-side constraints in metals. Buy says the Telegraph.
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