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FTSE 100 Closes Down 1.4% as Recession Risks -2-

1111 GMT - Greencore's 1H adjusted EBIT of GBP3.6 million was lower on year, but ahead of analysts' expectations, Shore Capital's Clive Black and Darren Shirley say in a note. The convenience-food manufacturer wants to be more profitable and productive with a base to yield sustainable earnings and cash-flow growth, having worked hard to mitigate and offset rising costs, the analysts say. Shore's current 2H pretax profit expectations are GBP48 million and GBP50 million for the year, in line with management guidance. "We believe that investors will also be pleased and relieved to see the retained guidance, looking thereafter to the shape and magnitude of ongoing earnings," the analysts say. Shore Capital has Greencore as a house stock. (


Intermediate Capital's Resilience Foretells Recovery

1007 GMT - The resilience of Intermediate Capital Group's business model signals its future recovery, Credit Suisse says in a note. The asset manager offers resilient Fund Management Company earnings in the near-term and has potential for strong earnings and assets under management growth in the future as market conditions improve, analysts Haley Tam and Elvis Anoma-Amoabeng write. "Longer term, ICP's diversified asset base and investment track record should enable it to benefit from a recovery in fundraising and transaction activity, with significant upside potential as it grows fund sizes in both established and new product areas," they add. Credit Suisse rates the stock outperform and has a price target at 1,660 pence. Shares, which are up 19% year to date, trade at 1,369 pence. (


Hollywood Bowl's Impressive 1H Reaffirms Prospects

0945 GMT - Hollywood Bowl Group's first-half results were impressive with record sales on continued customer demand, leaving it well-placed to continue executing, Berenberg says in a note after the bowling operator posted 3.5% like-for-like revenue growth and said trading continues to be aligned with management's expectations. "With its market-leading position in the U.K. and growth opportunities in Canada, the continued cash flow generation of the business, the success of its refurbishment and new center opening strategy, our confidence in the company's future prospects are further reaffirmed by this set of results," analysts Jack Cummings and Matthew Chadwick write. Berenberg lifts its target price to 370 pence and keeps its buy rating on the stock. Shares edge up 0.2% at 260.5 pence. (


DWF Group's Better 2H Shows Value on Offer

0944 GMT - DWF Group's improving second half shows the value it has to offer, Berenberg says in a note. The provider of legal and business services said it sees more than 8% revenue growth in fiscal 2023 as its third and fourth quarters saw double-digit growth. "Given the strength of this update in a period of relative macroeconomic weakness, we believe the resilience of DWF and its growth strategy will become increasingly clear to the market," the German bank's analysts write, adding that current valuation implies a dramatic rerating opportunity over the coming periods which will reward shareholders in time. Berenberg rates the stock buy. Shares, which are down 20% year to date, rise 3.2% at 64 pence. (


Hollywood Bowl's Canada Performance Makes 1H Shine

0935 GMT - Hollywood Bowl Group scored a strike with its strong Canada performance, AJ Bell says after the bowling operator's first-half results, which included a strong contribution from its recent acquisitions in the country. "There is a genuine bowling culture in Canada which may well be receptive to Hollywood Bowl's approach of reviving tired and grimy bowling alleys and giving them a bit of shine," investment director Russ Mould writes in a market comment. The approach continues to serve it in the U.K. as well and the dividend hike is a genuine display of faith in the company's prospects and suggests resilient demand for ten-pin bowling, Mould adds. Shares edge up 0.2% at 260.5 pence. (


Hunting's New Order Underpins Robust International Outlook

0934 GMT - Hunting's record single order shows the growing importance of its international business, Jefferies analysts Mark Wilson and Jamie Franklin write in a research note. "Today's update builds on the company's previous commentary of an overall robust outlook across U.S. and international [businesses]," the analysts say. In addition, the energy-services group should have less acute working capital demands with this new order, given the contract spans three years, they add. Jefferies keeps a buy rating on the stock. Shares are up 17.4% at 236.50 pence. (


Contact: London NewsPlus, Dow Jones Newswires


(END) Dow Jones Newswires

May 30, 2023 12:02 ET (16:02 GMT)

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