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The below stocks have been identified as having potential to register bigger than normal share price moves (up or down) today based on the news cited
Kingfisher FY Sales +0.3% (-1.6% like-for-like), in-line; Gross margin flat; Retail profit -11.3%, adj. pre-tax profit -16.1% (£573m beats £554m est); Lease adj. return on capital -70bp; div flat; CEO succession process launched but no date set. Targets med- term growth but flat 2020 gross margin; adding to Screwfix UK, reducing in Germany, addressing France underperf; UK market uncertain
Inmarsat is considering a $3.3bn bid from a private equity consortium (Apax, Warburg Pincus, Canada Pension Plans); 23% premium to UK close after FX; US shares were +25% in late trading.
Kier Group H1 underlying revenue +2% YoY, swung to a £35.5m pre-tax loss (from £34.3m profit) after £59.9m non-underlying charges. Cuts interim dividend -78.7%. Delivered £4m cost savings and expects £20m FY net savings. FY guidance unchanged, with results H2-weighted.
IQE 2018 revenues +1.1% (Wafers +2.4%); Wafer Gross Profit -12.2%; EBITDA -28.9%, op profit -39.6% (wafers -35%), pre-tax profits -43%; CAPEX +22%, cash generation -43%; net funds -54%; Headwinds (inventory unwound, general semiconductor market softness) to impact H1 2019.
Paragon Banking said the transition to IFRS 9 accounting standards would result in a £27.2m increase in impairment provisions. Asset value -0.2%, equity -2% and Tier 1 capital ratio -0.3%.
(Sources: Company newswires, Bloomberg, CNBC, FT, Reuters, Wall Street Journal)
For more information on any of these individual news items, call into the trading floor
| Stock | Code | Close | High | Low |
| SAINSBURY (J) | SBRY | 5.9% | 8.3% | 5.1% |
| EVRAZ | EVR | -2.0% | -2.0% | -5.7% |
| JOHN WOOD | WG/ | -4.7% | 0.5% | -7.6% |
| OCADO | OCDO | 7.8% | 8.4% | 1.2% |
| ANTOFAGASTA | ANTO | 4.5% | 6.7% | 3.0% |
| FERREXPO | FXPO | -1.0% | 1.1% | -9.6% |
| ASOS | ASC | -5.4% | 0.8% | -11.4% |
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Prepared by Michael van Dulken, Head of Research