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Rolls-Royce: engines at full thrust

Shares in Rolls-Royce are flying high this morning after H1 results beat expectations (like-for-like organic revenue +14% to £7.04bn, above £6.55bn consensus). Trouble with Trent 1000 series engines that power Boeing’s Dreamliners continued to be a yoke around the engine maker’s neck, but with the cash costs of the resulting engine maintenance issues in-line with…

Next quarter could be critical

Shares in retailer Next are wearing the biggest loss on the UK Index as investors turn their nose up at its latest trading statement. Q2 Sales growth of 2.8% YoY was slower than Q1. This was expected after Q1 strength (+6%) was flattered by an easy comparison period. And the quarter was ahead of the…

Just Eat: A bitter taste

Shares in online food delivery platform Just Eat are -2.4% in mid-morning trading in spite of a seemingly positive H1 update. Group revenues are +45%, beating expectations, while orders grew 30% (below +32% in Q1 2018, but stronger than +26% in 2017). What’s not to like? The key, as usual, lies with the outlook. Just…

Foxtons & Ibstock: Mixed messages

It’s mixed signals from the Housing sector today with Foxtons swinging to an H1 loss due to weak London sales (group revenues -9.5%) and scrapping its dividend. The latter is normally the last thing companies wants to do, removing an element of support for the shares. Then again the shares weren’t even yielding 1% recently,…

Opportunity knocks, to give your trading the edge

Calling the bottom (and top!) can be exhilarating; buying at the low, watching the profits rise, closing at the high. We saw several instances of this strategy paying off this week, with sharp negative reactions followed by swift recovery rallies. Cobham opened -20% yesterday to finish -10%; BP opened -2% this morning but it’s now…

Nasdaq bloodied by FAANGs

All Tech stocks may seem equal. But some are more equal than others. The recent US tech rally produced some spectacular equity gains, but the latest corporate results may have finally separated the wheat from the chaff. Here’s how we separated them. By now, everyone must have heard about Facebook’s embarrassing 19% ‘face-plant’ that wiped…

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