Three of the best FTSE All-Share performers today

Former FTSE 250 stocks Mobico Group (LSE:MCG) and SThree (LSE:STEM) made progress on the road to recovery today in a session when Capita (LSE:CPI) extended the past month’s gains to more than 30%.

The trio were the best-performing stocks as the FTSE All-Share resumed its recent ascent, having traded at a record high earlier this month.

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Capita rallied to a nine-month high near 300p, boosted by further signs of progress on its turnaround under the leadership of chief executive Adolfo Hernandez.

At a recent update, he reiterated expectations for a second-half margin improvement and said the group is on track to be free cash flow positive from the end of this year.

He added that some of the efficiency savings from a £250 million cost reduction plan had been invested into new technology solutions, particularly those underpinned by artificial intelligence (AI).

Hernandez said: “AI is driving a significant technological revolution, and our refreshed operating model allows us to be at the forefront of these changes for our clients.”

Shares have rallied from 252p since the update on 17 June, when the group reported 24% year-on-year growth in contract wins to £969 million in the five months to 31 May.

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Mobico shares have been in retreat since 2022, culminating in the National Express owner’s relegation from the FTSE 250 index in June 2024 and in this month’s quarterly reshuffle.

The stock fell as far as 25p in recent sessions, weighed down by City disappointment over the £457 million proceeds from the disposal of its North American school bus business.

The transaction with I Squared Capital, which was announced in April, accelerates debt reduction as well as diverts cash flow from a capital-intensive business towards more attractive growth opportunities, particularly Spanish subsidiary Alsa.

Mobico said today that it expects the deal to complete next month, while it also narrowed operating profit guidance for this year to £180 million-£195 million.

The shares rose 1.8p to 28p as recently appointed executive chair Phil White, who previously ran the group between 1997 and 2006, announced the arrival of a new finance chief.

Brian Egan has previously held roles at Jefferson Smurfit, Petropavlovsk and Coca-Cola. White said: “His considerable experience working as a CFO for a number of international businesses will serve the group well.”

SThree shares rallied after an update by the STEM recruitment specialist eased some of the worries of investors after last week’s profit warning by FTSE 250-listed Hays (LSE:HAS).

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While market conditions remain challenging, SThree said it delivered a stable first-half performance with a modest sequential improvement quarter-on-quarter.

Shares rose 18p to 241.5p, which compares with 293p earlier this year, prior to its relegation from the FTSE 250.

City firm Berenberg has a price target of 390p, noting that a contract-focused model differentiates SThree favourably from a basket of generalist staffers and that the structural undersupply of STEM talent acts as a compelling long-term growth driver.

It said today: “Naturally we are mindful of the need (and hopeful for) an improvement in the macroeconomic backdrop to help drive future performance.

“However, in the context of the group’s current trading and resilience, net cash balance sheet and valuation of just 5.1 times forecast 2026 earnings, we are encouraged.”