Essential Products Inc. – What’s essential?
Something must-have has to come out of the bag at launch.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 13th January 2017
Forterra, SIG and Grafton have issued updates this morning for the year just ended and all three contain no surprises. Lavendon has also issued an update which helps to explain why TVH and Loxam have been so interested but probably not why the Directors initially recommended the 230p bid.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 12th January 2017
Barratt Developments and Savills have issued trading updates today. Barratt report that in the first half of the year to end December trading has been in line but there is an increased level of caution, reading between the lines. Savills 2016 performance benefitted from the timing of several transactions near to its year end and FX so the out-turn for the year was “meaningfully ahead” of previous expectations. Barratt’s update is likely to be greeted with a mixed response. There is a conference call at 8.30. One of the key talking points will be London demand which the company states is a headwind affecting margin growth and ASP
Read more...Airbus does it again
Record breaking 2016 for Airbus as it exceeds delivery target
At yesterday’s annual New Year press conference, Fabrice Bregier (Airbus Commercial CEO) triumphantly announced that Airbus delivered 688 aircraft last year, exceeding its target of 670.
Read more...Cyber wars
Will Russia’s attempt to influence the US election change global cybersecurity policy?
The news this week that Russia tried to influence the outcome of the US election is likely to have elevated cybersecurity up Mr Trump’s ‘to do’ list for when he takes office next week. The report from the Intelligence Agencies stated that “Russia’s effort the influence the election represented a significant escalation in directness, level of activity and scope of effort compare to previous operations.” Cyber is not a new topic, and has been a buzz word in the defence industry over the past five years as companies sought exposure to what has been seen as a growth market. However, cyber is still a very small percentage of revenues for the defence primes and the market has been very fragmented. In today’s blog, I ponder what impact Russia’s meddling in the election will have on cybersecurity.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 11th January 2016
Taylor Wimpey, Interserve and PRS operator Sigma Capital have updated the market today. All three have December year ends. TW in a quite detailed update which is now the norm for housebuilders paints a positive picture of its future, as always providing some caution as it is organised for both the up and down parts of the cycle and we are still on a prolonged up part. Funds seeking FTSE100 recovery situations pushed Capita and Babcock to the best performances in our universe yesterday. Given the feeding frenzy in the market, especially at the larger end, it should probably not be a surprise.
Read more...Market Commentary - Housing, Infrastructure, Construction and Services 10th January 2017
The mainstream HICS stocks are quiet today. Topps Tiles has updated on its performance in the 13 weeks to end December and the read across to the Merchants is at best neutral. Yesterday’s share price moves epitomise the current state of affairs in the sector, in our view. Cutting to the chase, the segment has no real direction. The industry and company newsflow suggests that Brexit and the economic cycle is not affecting the sector much in terms of demand. But FX, long term bond yields, the normal pattern of economic cycles and some activity data points to there being a few “issues” ahead.
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