International stock news

Rss Today on Proactive AU

2014-08-22

ASX200 marks seventh straight gain

 
Australian stocks have ended the week on a marginally positive note with the ASX200 up 0.1% to 5,645.6 points. The Shanghai Stock Exchange Composite Index is up 0.22% to 2,235.36 points while in pre-open markets the Dow Mini is up 20 points to 17,036.
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Rss Today on Proactive UK

2014-08-22

Broker spotlight - AstraZeneca, Bovis Homes, Taylor Wimpey, ITV and Premier Oil

 
‘Summer puff’ are the words Panmure Gordon analyst Savvas Neophytou uses to dismiss reports of an imminent Pfizer return bid for AstraZeneca (LON:AZN). The recent frothy 7% rise in the value of shares in the Anglo-Swedish drugs maker has also led to speculation that the American giant could be back on August 26, the earliest it is allowed to under UK rules to rebid for AZ. Pfizer tabled a £71bn hostile offer, which was rejected. It can return for a second tilt at the end of this month, but only if it is invited by AZ.  Otherwise it must wait for the full six-month cooling off period, which takes us to November 26. “We note news media speculation on what Pfizer might or might not be able to do on 26 August 2014,” said Neophytou in a note to clients. “In our view, the prospects of renewed hostilities next week are remote, but AstraZeneca remains an attractive bid candidate which may attract interest after 26 November.”  The analyst reiterated his ‘hold’ stance and £44 price target. Meanwhile, broker Liberum has given investors something to ponder over the long weekend as it screened for the top-five UK cyclical plays. The rationale for looking at these plays is “an unexpectedly doveish August inflation report, along with signs of further slack in the labour market [which] has driven fears of an early rate rise into the background”, according to strategist Sebastian Jory. The list is dominated by building-related plays, with Taylor Wimpey (LON:TW), Bellway (LON:BWY), Travis Perkins (LON:TPK) and Howden Joinery (LON:HWDN) mentioned. Also on there is ITV (LON:ITV), which is picked for its dominance of the UK market and its relatively cheap valuation. “We anticipate a healthy year of advertising growth for ITV,” says analyst Ian Whittaker. “The combination of the World Cup effect, better consumer environment and fierce competition in certain advertising segments (e.g between BskyB and BT in pay-TV and broadband) reinforces our views.” Deutsche Bank was caught, not by the recovery potential of this next building stock, but the payout. The house rates Bovis Homes (LON:BVS) a ‘buy’, pointing to the recent eye-catching rise in the dividend, which takes the yield to a more-than-healthy 4.5%. “Through to 2016 we anticipate Bovis to show the increasing benefit of its growth strategy: the pull through of new land delivering a strong improvement in operating margins, volumes and selling price,” it told clients. “These levers combined with an improving housing market and a stronger dividend we see as driving scope for a share price re-rating.” The broker also repeated its ‘sell’ call on Hargreaves Lansdowne (LON:HL), setting an 829p a share price target. “HL has proven itself to be a phenomenal asset gathering machine,” the broker concedes.   “However, it is facing extreme revenue margin pressure, a result of regulatory guidelines that are likely to act as a severe headwind in the short to medium-term.”  Premier Oil (LON:PMO) is apparently firing on all cylinders, according to Deutsche Bank, which repeated its ‘buy’ advice and 495p a share price target. The update followed the recent, marginally-better-than-expected earnings statement.
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Rss Today on Proactive US

2014-08-22

Wall Street gains as S&P 500 sets new all-time closing high; gold tumbles

 
U.S. stocks closed higher on Thursday amid upbeat economic data, ahead of Fed Chair Janet Yellen's address tomorrow, with the S&P 500 setting a record close.
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