The Cambridge index dropped 1.6% or 367.4 points to settle at 22,679.6, as the as the top three index heavyweights posted weekly losses to their share prices.
DS Smith, down 1.3%, in its trading update announced that the performance for the period since 1 November 2016 remained in line with the market expectations, with strong volume growth from the e-commerce businesses. The pan-European customer volume grew ahead of the average rate. Further, the Board anticipates the performance for the upcoming period to be in line with its medium-term financial targets. The stock was subject to mixed ratings from brokers.
Berenberg initiated its “Hold” rating on Greene King, down 2.2%, with a target price of 700p. Abcam, up 3.4%, announced that its half-year revenue rose to £102.5m from £78.6m compared to previous year. The company’s profit before tax increased to £25.1m, from £20.9m in the same period. The Board approved an interim dividend of 2.8p per share payable on 13 April 2017. Peel Hunt reaffirmed its “Hold” rating on the stock with a target price of 750p. JPMorgan reissued its “Neutral” rating on the stock with a target price of 678p. Panmure Gordon restated its “Sell” rating on the stock with a target price of 640p.
Peel Hunt reissued its “Buy” rating on Kier Group, down 0.1%, with a target price of 1600p.
1Spatial up 38.5%, in its business update, announced that Nicole Payne, the Group Financial Accountant, has been appointed as the Acting Finance Director. Also, as part of the restructuring process, they have sold the Enables IT's US business to its US operating management as a stand alone business.
Vernalis, down 3.1%, announced that it has signed a new two-year partnership deal with Servier for oncology drug discovery. The company will receive a €2m upfront payment, on-going fees, bonuses for reaching research milestones and a share in the success of any further product. Panmure Gordon reaffirmed its “Buy” rating on the stock with a target price of 65p.
Cambridge Cognition Holdings, down 6.9%, announced that it has launched a new web-based testing product to conduct online academic and clinical research studies. The CANTAB Connect software will now allow the researcher to assess participants remotely.
UK markets closed mostly higher in the last week. The Chancellor, Philip Hammond, revised his estimations of UK’s economic growth to 2% for the year from 1.4%, though indicated at a slow economic growth in the next year. Recent data showed the nation’s industrial and manufacturing production declined in the month of January. The FTSE AIM 100 index added 0.5% to close at 4,441, while the FTSE techMARK 100 index rose 0.6% to end at 4,463.6. However, the FTSE 100 index fell 0.4% to settle at 7,343.1.
US markets ended lower last week, amid indications by the US Federal Reserve Chairwoman regarding a possible interest rate rise in the coming week. As well as this the nation’s initial jobless claims unexpectedly rose for the week ended 4 March 2017. However, the US non-farm payrolls rose more than forecast in February. The DJIA index dipped 0.5% to end at 20,903, while the NASDAQ index eased 0.2% to close at 5,861.7.
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