Cambridge Index

15 May 2017

Archive

Cambridge Index adds 0.4%

The Cambridge index rose 0.4% or 85.7 points to finish at 23,555.3, as six out of the top ten index heavyweights posted weekly gains to their share prices. Numis Securities reissued its “Add” rating on DS Smith, down 0.2%, with a target price of 495p, while JPMorgan raised its target price on the stock to 500p from 475p and maintained its “Overweight” rating. Numis Securities downgraded its rating to “Hold” from “Add” on Greene King, down 2.2%, with a target price of 790p.
Sepura, up 30.4%, announced that the Secretary of State for Business, Energy and Industrial Strategy has accepted the statutory undertakings set out by both the parties involved in the proposed acquisition by Hytera Communications Corporation Limited, after a public consultation. As a result, the company would not be referred to the Competition and Markets Authority for a further detailed investigation into the acquisition. RhythmOne, up 9.6%, today announced that its annual revenues rose to $149m from $116.1m in the preceding year while its loss before tax narrowed to $14.9m from $77.2m. Numis Securities reiterated its “Buy” rating on the stock with a target price of 52p. Horizon Discovery Group, up 1.5%, , announced that revenues in current and ongoing contract research services, product sales and R&D collaboration derived from the Immuno-Oncology platform during the year 2017 increased by around 40% to £1.5m, compared to the previous year. The company expects the platform will achieve significant growth for the financial year 2017, with the help of a strong current order book, including increasing orders for immunology-related target identification, validation and diagnostic reference standards. N+1 Singer reissued its “Buy” rating on the stock with a target price of 194p.
N+1 Singer reissued its “Hold” rating on Vernalis, down 2.7%, with a target price of 28p. JPMorgan reaffirmed its “Overweight” rating on Kier Group, down 3.6%, with a target price of 1639p. Panmure Gordon reiterated its “Buy” rating on Sphere Medical Holdings, down 5.1%, with a target price of 15p.
UK markets ended mostly higher in the last week led by a rally in energy sector stocks. The Bank of England (BoE) held its benchmark interest rate steady at 0.25% and reduced its growth prospects for the nation for the current year. The trade deficit widened more than market forecast in March, indicating that Brexit uncertainties have started to weigh on the economy. The FTSE 100 index climbed 1.9% to settle at 7,435.4, while the FTSE AIM 100 index added 0.9% to end at 4,819.2. However, the FTSE techMARK 100 index edged 0.1% lower to close at 4,345.
US markets closed in negative territory in the previous week, amid rising concerns over the efficiency of the business-friendly policies set by US President, Donald Trump. On the macro front, US surprisingly increased the number of jobs in March while the number of people claiming jobless benefits declined. However, US retail sales and consumer price index for April fell short of market forecasts. The DJIA index fell 0.5% to end at 20,896.6, while the NASDAQ index gained 0.3% to close at 6,121.2.

Index Movers

Quixant PLC

Quixant PLC, a provider of specialised gaming platforms designed for gaming and slot machine applications, lost 4.3% to 390.0p.

Bango PLC

Bango PLC, a developer and provider of technology for mobile phones, decreased 3.3% to 132.5p.

Frontier Developments PLC

Frontier Developments PLC, a leading independent developer of video games, climbed 15.8% to 384.0p. FinnCap reiterated its “Corporate” rating on the stock.

Gaming Realms PLC

Gaming Realms PLC (former PDX PLC), an online gaming operator, developing free-to-play and real-money products, slipped 4.5% to 13.4p.

Kier Group PLC

Building, civil engineering and property development group, Kier Group PLC, fell 3.6% to 1278.0p. JPMorgan reaffirmed its “Overweight” rating on the stock with a target price of 1639.0p.

RhythmOne PLC

RhythmOne Plc (former Blinkx PLC), the leading video search engine, jumped 9.6% to 48.5p. Today, the company announced, in its final results for the year ended 31 March 2017, that its revenues rose to $149.0 million from $116.1 million in the preceding year. The company’s loss before tax narrowed to $14.9 million from $77.2 million. Numis Securities reiterated its “Buy” rating on the stock with a target price of 52.0p.

Sareum Holdings PLC

Sareum Holdings PLC, which is engaged in the structure-based drug discovery business, rose 5.7% to 0.9p.

Sepura PLC

Sepura PLC, a supplier of network-independent Terrestrial Trunked Radio terminals and digital radios, soared 30.4% to 15.0p and emerged as the top gainer in the Cambridge index. The company announced that the Secretary of State for Business, Energy and Industrial Strategy has accepted the statutory undertakings set out by the parties involved in the proposed acquisition by Hytera Communications Corporation Limited after a public consultation. As a result, the company would not be referred to the Competition and Markets Authority for a further detailed investigation into the acquisition.

Sphere Medical Holdings Ltd

Sphere Medical Holdings Ltd, a leading developer of innovative monitoring and diagnostic devices for the critical care setting, declined 5.1% to 7.0p and emerged as the top loser in the Cambridge index. Panmure Gordon reiterated its “Buy” rating on the stock with a target price of 15.0p.

Other Movers

DS Smith PLC

DS Smith PLC, a manufacturer and distributor of paper and plastic packaging products, edged 0.2% lower to 436.6p. Numis Securities reissued its “Add” rating on the stock with a target price of 495.0p. JPMorgan raised its target price on the stock to 500.0p from 475.0p and maintained its “Overweight” rating.

Greene King PLC

Shares of pub operator, Greene King PLC, fell 2.2% to 743.0p. Numis Securities downgraded its rating to “Hold” from “Add” on the stock with a target price of 790.0p.

Horizon Discovery Group PLC

Horizon Discovery Group PLC, the life science company supplying research tools to organisations engaged in genomics research and the development of personalised medicines, added 1.5% to 206.0p. The company, in its update on the performance of its Immuno-Oncology platform, announced that revenues in current and ongoing contract research services, product sales and R&D collaboration derived from the platform during the year 2017 increased by around 40.0% to £1.5 million, as compared to the previous year. The company expects the platform will set the tone to achieve significant growth for the financial year 2017, with the help of a strong current order book, including increasing orders for immunology-related target identification, validation and diagnostic reference standards. N+1 Singer reissued its “Buy” rating on the stock with a target price of 194.0p.

Vernalis PLC

Shares of biotech firm, Vernalis PLC, dropped 2.7% to 17.8p. N+1 Singer reissued its “Hold” rating on the stock with a target price of 28.0p.

Research and analysis for these reports has been conducted by Decimal Point Analytics Pvt. Ltd. on behalf of NW Brown Group.

Cookies on the NW Brown Group Website

We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on the NW Brown Group website. Find out how the NW Brown Group website uses cookies.