Share Prices & Company Research

Press Release

07 October 2016

Redmayne-Bentley's Top Trades

Below we take a look at the most frequently traded shares through Redmayne-Bentley over the last couple of weeks and consider why they have been so popular.

Capita (CPI)
FTSE 100
Sector: Support Services
Market Capitalisation: £4,338.65m

Capita shares slumped dramatically after issuing a profit warning for the remainder of 2016. The group said that the first half of the year had seen good profit growth but that performance so far in the second half of the year has been below expectations, citing problems with a contract running London’s congestion charge and poor sales at two key businesses. Consequently, the group said it expects full-year underlying pre-tax profit to be in the region of £535m to £555m for 2016, below analysts’ consensus forecasts of £614m.

Allied Minds (ALM)
Index: FTSE 250
Sector: Financial Services
Market Capitalisation: £745.24m

Allied Minds was in favour with investors last week after the group announced a strategic alliance with GE Ventures to jointly identify and commercialise next-generation technologies. The alliance means that the two groups have agreed to invest in new and existing technologies from each other’s innovation pipelines. This will expand Allied Minds’ network of research and development partners to include leading early-stage technologies in healthcare, transportation, energy and big data possessed by GE Ventures, and allow them first refusal to license certain technologies.

Phoenix Group (PHNX)
Index: FTSE 250
Sector: Life Insurance
Market Capitalisation: £2,169.70m

Investors were cheered by the announcement from Phoenix Group last week of the proposed acquisition of Abbey Life from troubled German bank, Deutsche Bank AG, for a total cash consideration of £935m. The acquisition will add £10bn of assets under management and circa 735,000 policyholders. It is expected that the acquisition will generate around £0.5bn of aggregate cashflows between 2016 and 2020 and will support a proposed increase in dividends to £197m in 2017. The acquisition will be financed through a fully underwritten rights issue as well as a £250m new bank facility.

Top Trades is published every fortnight in Equity Insight, a newsletter written by our stockbrokers and investment managers. It provides fresh market commentary, a focus on individual sectors, technical analysis, potential trading opportunities and share reviews. Register now for your complimentary issue.

Please note that investments and income arising from them can fall as well as rise in value and you may lose some or all of the amount you have invested. Past performance and forecasts are not a reliable indicator of future results or performance. That this communication is for information only and does not constitute a recommendation to buy or sell the shares of the companies mentioned.

Redmayne-Bentley's Top Trades