The week ahead: Big week for Pru and insurers
4th August 2017 15:48
by Lee Wild from interactive investor
Monday 7 August
Trading statements
Ultra Electronics, Telit Communications
AGM/EGM
Akers Biosciences
Tuesday 8 August
Trading Statements
Pets At Home Group, Morgan Sindall, Paddy Power Betfair, Mereo Biopharma, SIG, TP Icap, Worldpay, Standard Life, IWG, Rotork, Mporium, Clarke (T), InterContinental Hotels Group, IP Group, Bellway
AGM/EGM
Milestone Group, Frutarom Industries
Wednesday 9 August
UK-listed insurers have had a strong run this year, particularly over the past three months when even laggard has grown twice as fast as the wider market.
A day after reports numbers, steps up with half-year results.
It's only a couple of months since a capital markets day when the company focused heavily on management of credit risk and how the credit portfolio performs in stress scenarios.
"We believe Legal's ability to manage its credit exposure is under appreciated, and the stock is attractively valued on 11x our FY17 estimates, with a forward dividend yield of 5.9%; we reiterate our 'overweight' rating," say analysts at Barclays.
L&G's investment management division now has assets under management of over £950 billion after £16.8 billion net inflows.
Look for half-year operating profit of £824 million and adjusted earnings per share (EPS) of 11.1p, according to Bloomberg.
Resurgent support services outfit is in need of a boost after moving sideways in a narrow range for the past three months.
In fact, the firm, whose share price has doubled since the EU referendum, is more or less the same price as it was following a brief first-quarter update at the beginning of May.
Then, chief executive Ashley Almanza reported a strong start to the year, with momentum spilling over from the end of 2016 in to the first quarter of this year.
Revenue was up 8.9% year-on-year, there was double-digit organic growth in developed markets and a flat top line for emerging markets. Expect average revenue growth of 4-6% per annum, we were told.
According to estimates compiled by Bloomberg, look for pre-tax profit of £101 million for the six months to 30 June 2017. That should generate adjusted EPS of 7.7p on revenue of £3.55 billion.
Trading Statements
Stock Spirits, G4S, Sarco Engineering, Hastings Group, Legal & General, Riverstone Energy
Thursday 10 August
l has been a star performer, particularly over the past 18 months, and currently sits near a record high.
We said back in March, following impressive full-year results, that Pru shares could be worth £20. Well, they're up 8% since and looking good to achieve that target.
At the interim results, Bloomberg has operating profit of £2.24 billion and adjusted EPS of 83.9p on revenue of £3.42 billion.
Trading statements
Cineworld, Coca-Cola, Vitec, Tritax Big Box Reit, Prudential, PageGroup, Amec Foster Wheeler, PageGroup, Hill & Smith Holdings, Evraz, Derwent London
AGM/EGM
Blue Planet Investment Trust, Investec
Friday 11 August
Political instability in South Africa during March and April crushed both the Rand and Old Mutual's share price.
But it's bounced back, and these results should be interesting.
"We expect 2017 to be a year characterised by the hard work required to get the businesses ready for separation in 2018," said chief executive Bruce Hemphill in March.
There'll be an update on progress, clearly. On the numbers front, adjusted EPS is expected to come in at around 10.2p.
Trading statements
Old Mutual, Romgaz, Touchstone Exploration
AGM/EGM
iEnergizer Ltd, Adamas Finance Asia
This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.