Barclays Tops FTSE 100 After Corporate, -2-

EnSilica PLC shares rose Thursday after it said it expects fiscal 2023 earnings to significantly exceed market expectations, as it continued to perform well across the second half of the year.

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NextEnergy Solar Fund Plans to Divest 236MW UK Solar Assets Portfolio

NextEnergy Solar Fund Ltd. said Thursday that it has launched a program to divest a 236 megawatt portfolio of U.K. solar assets in order to accelerate its growth with further opportunities.

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International Personal Finance Sees 2023 Above Views After Rise in 1Q Customer Lending

International Personal Finance PLC said Thursday that it sees full-year results ahead of its internal expectations after it posted a 15% on-year rise in customer lending in the first quarter.

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Synectics Sees Results More Second-Half Weighted After Slow Start, But 2023 Forecast Stands

Synectics PLC said Thursday that although it anticipates 2023's results to be more heavily weighed toward to the second half than previously expected its forecasts for the year remain unchanged.

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Curtis Banks Appoints Ross Allan Interim COO as Jane Ridgley Retires

Curtis Banks Group PLC said Thursday that Ross Allan has been appointed interim chief operating officer effective May 1 as Jane Ridgley is stepping down from the role and retiring as director of all group companies.

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KEFI Gold & Copper Shares Rise on Financing Agreement for Ethiopia Project

KEFI Gold & Copper PLC shares rose Thursday after the company said it signed an agreement for the financing of the Tulu Kapi gold project in Ethiopia.

MARKET TALK:

Inchcape's 1Q Reassures on Short-, Medium-Term Goals

1038 GMT - Inchcape's first-quarter update provides reassurance that the global automotive distributor is on track to meet its targets, Peel Hunt analyst Andrew Nussey says in a note. "The excellent start to the year should provide clear reassurance that Inchcape is firmly on track, both operationally and strategically, to deliver its short- and medium-term goals," says Nussey. The reiteration of Derco's margin goals, working capital efficiencies, recurring cost synergies and earnings per share accretion should also reassure, he adds. Peel Hunt has a buy rating on the stock with a price target of 1,200 pence. Shares are up 3.5% at 791 pence. ([e-mail])

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Quixant Delivers Strong 2023 Start With Margin Recovery Building

1032 GMT - Quixant has had a strong start to 2023, with confidence in achieving full-year market views after group revenue rose on-year against some tough comparisons, Canaccord Genuity says. The gaming-technology company's share price offers a relatively cheap market valuation currently, given its strong order book visibility and a persist margin recovery, Canaccord analysts James Wood and Hayley Palmer say in a research note. "We believe the strategy to support clients through a challenging supply and macro backdrop continues to pay dividends as closer relationships and proven supply chain management has allowed Quixant to grow with new and existing accounts," the Canadian investment bank says. Canaccord retains its buy rating and 275 pence price target. Shares are up 0.9% at 174 pence. ([e-mail])

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Inchcape's Upbeat 1Q Drives Shares Higher

1031 GMT - Inchcape's strong organic growth driven by improved supply and the benefit of a diversified geography is in continuation with its latest results, Jefferies says after the global automotive distributor posted a first-quarter revenue boost and sees full-year figures in line with expectations. "We read this 1Q announcement as an upbeat reiteration of the message from the March FY22 finals," analysts say, adding that they don't expect material changes to consensus estimates this early in the year. The standout number is the 15% organic growth in distribution, which underscores the benefits and opportunity from the continuing strategic shift toward the division, they note. Jefferies rates the stock buy. Shares rise 3.7% at 793 pence, but are still down 3.5% year to date. ([e-mail])

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DS Smith's End-of-Year Update Was Reassuring

1025 GMT - DS Smith's preclose trading update for the year to the end of April was reassuring, brokerage Davy says, reiterating its outperform recommendation and 375 pence price target. The update indicated lower box demand, but resilient box prices with lower raw-material costs, leading to improving profit margins, Davy says. Still, any changes to consensus FY 2023 estimates for pretax earnings before interest and amortization of GBP854 million and earnings per share of 43.6 pence are likely to be minimal, the brokerage adds. "While concerns remain regarding box demand and pricing, post recent weakness, we see a modest DS Smith relief rally," Davy analyst Justin Jordan says in a note. ([e-mail])

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St. James's Place 1Q Flows Remained Robust in Challenging Context

1024 GMT - St. James's Place's flows remained robustly positive in the face of weakening investor sentiment and compare favorably against peers, Peel Hunt says in a note after the wealth manager posted weaker-than-expected first-quarter flows and funds under management, disappointing investors. "We remain of the view that this is attractive given the strong market position and inherent growth in cash profits from gestation [funds under management]," analysts say. Peel has a buy rating on the stock. Shares are down 4.3% at 1,186 pence and are the FTSE 100's worst-performing stock. ([e-mail])

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Taylor Wimpey Joins Peer in Providing Market Reassurance

1020 GMT - Taylor Wimpey's business update for 2023 so far is yet another reassuring release from a U.K. house builder, joining peer Persimmon's encouraging first-quarter results on Wednesday, Goodbody says. The house builder, in a similar vein to Persimmon, has noted sales rates continue to improve, resilient pricing, and has even given some additional comfort around build-cost inflation tapering, Goodbody analyst Shane Carberry says in a research note. "We see this as a solid update and envisage limited changes to forecasts on the back of it," the Irish brokerage says. Goodbody retains its buy recommendation on Taylor Wimpey's stock. Shares are down 0.3% at 125.2 pence. ([e-mail])

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Barclays' 1Q Deposits Show Customers Aren't Lacking Confidence

1018 GMT - Barclays' on-quarter rise in deposits suggests the bank's customers aren't experiencing the same crisis of confidence as their American counterparts, AJ Bell says in a market comment after the British lender's first-quarter results topped expectations. "Deposits rose 2% between January and March to GBP556 billion and although loan losses crept up they were no worse than expected, and rising net interest margins and a strong showing from the investment bank more than compensated," AJ Bell's Investment Director Russ Mould says. Shares sit at the top of the FTSE 100 index, up 4.5% at 160.8 pence, paring the losses it incurred from the fallout of SVB's collapse as the stock trades at its highest price since March 9. ([e-mail])

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Unilever Looks Set for Consensus Upgrades After 1Q

1012 GMT - Unilever shares rise 1.7% after the consumer-goods group reported a pick-up in underlying sales gains. Unilever significantly beat expectations on volumes while achieving in-line pricing and increased guidance, following the same pattern as staple peers in the reporting season so far, Citigroup says. "We would expect small upgrades to consensus and while there may be questions on the magnitude of the restocking contribution and the shape of 2Q--consistent with questions seen at other companies so far--other divisions have also proven more resilient than feared," Citi analysts say in a note. ([e-mail])

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UK Consumption Growth Likely to Remain Strong Amid Tight Labor Market

1009 GMT - UK consumption growth, a major contributor to economic expansion, is expected to remain strong and support economic expansion in the current firm labor market, RBC Capital Markets' Peter Schaffrik says in a webinar. "Employment is a large driver of consumption and as long as the labor market stays strong, consumption growth is likely to stay strong," he says. "Currently, the labor market remains firm and there is little sign of slowing either in the U.K. or euro area," Schaffrik adds. ([e-mail])

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St. James's Place's Retention Levels Drove Large Net Flow Miss

1001 GMT - St. James's Place provided a downbeat update on asset flows, UBS says after the wealth manager posted first-quarter flows and funds under management that missed analyst views. "Retention levels have recently been higher than the long-term average following the Covid pandemic and appear to have trended down quicker towards SJP's long-term ambition. This appears to be driving the large net flow miss versus expectations," UBS analysts say in a note. UBS rates the stock neutral with a price target at 1,240 pence. Shares sit at the bottom of the FTSE 100 index, trading 4.6% lower at 1,182 pence. ([e-mail])

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Barclays 1Q Tops Hopes, Valuation Looks Attractive

0942 GMT - Barclays reported better-than-expected first-quarter trading and the U.K. bank's valuation is attractive, UBS says. The bank's 1Q pretax profit was 16% above company consensus and it reiterated 2023 and medium-term targets, UBS says. "The FY22 GBP500 million buyback program concluded recently; we expect another GBP500m at 2Q23 and GBP1bn at FY23 as a support to the share price for an attractively valued stock," UBS analysts say in a note. Shares--on which UBS has a buy recommendation and 244 pence price target--top the FTSE 100 Index, up 4% at 161 pence. ([e-mail])

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WPP Shares Continue to Look Undervalued

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04-27-23 0701ET