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LONDON MARKET CLOSE: UK mid-caps outperform in calm post-budget trade
LONDON BROKER RATINGS: UBS cuts SSE; Citi lifts Compass
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- 27th Nov 2025 09:41
- The following London-listed shares received analyst recommendations Thursday morning and on Wednesday:
-
FTSE 100
- Citigroup raises Compass Group to 'buy' (neutral) - price target 3,000 (2,750) pence
- Citigroup raises Intertek price target to 5,833 (5,791) pence - 'buy'
- Citigroup cuts Entain price target to 1,150 (1,300) pence - 'buy'
- UBS cuts Beazley price target to 950 (990) pence - 'buy'
- Jefferies raises ICG target to 2,900 (2,790) pence - 'buy'
- UBS cuts SSE to 'neutral' (buy) - price target 2,350 (2,200) pence
-
FTSE 250
- Citigroup cuts Breedon price target to 340 (360) pence - 'neutral'
- JPMorgan cuts Workspace Group price target to 500 (540) pence - 'overweight'
- JPMorgan cuts Grainger price target to 265 (275) pence - 'overweight'
- JPMorgan raises British Land price target to 440 (425) pence - 'neutral'
- JPMorgan cuts Derwent London to 'neutral' - price target 2,100 (2,400) pence
- UBS raises Watches of Switzerland price target to 475 (440) pence - 'neutral'
- Deutsche Bank Research raises Pets At Home target to 230 (215) pence - 'buy'
- Barclays cuts Pets At Home price target to 180 (190) pence - 'underweight'
- Jefferies cuts Coats Group price target to 115 (130) pence - 'buy'
-
SMALL CAP, AIM AND OTHER MAIN MARKET
- UBS raises Canal+ price target to 280 (260) pence - 'neutral'
- Berenberg cuts Auction Technology price target to 460 (560) pence - 'buy'
- Goldman Sachs cuts Asos price target to 255 (275) pence - 'sell'
- Berenberg starts Franchise Brands with 'buy' - price target 185 pence
- Barclays raises Zegona Communications price target to 1,750 (1,720) pence - 'overweight'
- Berenberg cuts Strix price target to 75 (85) pence - 'buy'
- Related Shares:
LONDON MARKET OPEN: London opens higher as investors digest budget
- European Stock Markets:
- Opened in the green on Thursday, with London equities higher despite some sectors impacted by Wednesday's UK budget.
- FTSE 100 up 0.1% at 9,696.64, FTSE 250 up 0.4% at 21,981.79, and AIM All-Share up 0.4% at 745.83.
- CAC 40 in Paris up 0.2%, DAX 40 in Frankfurt up 0.4%.
- Sterling Movement:
- Pushed higher post-budget but retreated slightly, trading at USD1.3227 on Thursday morning.
- Hit a one-month high of USD1.3268 earlier in the day.
- Global Markets:
- Nikkei 225 in Tokyo up 1.2%, Shanghai Composite up 0.3%, Hang Seng Index up 0.1%.
- S&P/ASX 200 in Sydney up 0.1%.
- UK Budget Impact:
- Gambling firms (Evoke, Entain, Rank Group, Flutter) fell due to increased remote gaming duty (40% from 21%) and new betting duty rates.
- Flutter warned of a significant adverse impact, expecting a net hit of USD235 million in 2026 and USD339 million in 2027 after mitigation.
- North Sea operators like Serica Energy down 1.4%, criticizing the budget for missing opportunities to boost investment.
- Commodities:
- Brent crude rose to USD62.52 per barrel.
- Gold flat at USD4,163.31 per ounce.
- Corporate News:
- Team announced a GBP12.7 million deal to acquire WH Ireland, with WH Ireland shares jumping 33%.
- Earnz, a decarbonisation-focused energy services company, rose 22% as it predicted no budget impact.
- Economic Calendar:
- Eurozone consumer confidence figures due Thursday.
- US financial markets closed for Thanksgiving Day.
LONDON MARKET EARLY CALL: FTSE 100 to edge lower; pound rises
- FTSE 100 Outlook: Set to open slightly lower on Thursday, down 12.4 points (0.1%) at 9,679.18, returning a fraction of Wednesday’s post-budget advance.
- Currency Movements: Sterling rose to USD1.3249 (up from USD1.3232), reaching a high of USD1.3268, its best since late October. Euro slipped to USD1.1593, and the dollar fell to JPY156.15 against the yen.
- UK Budget Measures: Chancellor Rachel Reeves announced tax increases worth GBP26 billion, including a freeze on income tax thresholds and changes to salary sacrifice schemes, to boost fiscal buffer and calm markets.
- Market Reaction: Government bond yields fell, and the pound closed higher. Commerzbank analyst Michael Pfister noted balanced tax changes unlikely to fuel inflation, but questioned long-term spending plans and election impact.
- Global Markets: U.S. stocks (Dow, S&P 500, Nasdaq) gained 0.7-0.8% on Wednesday. Asian markets rose on Thursday: Nikkei 225 (+1.2%), Shanghai Composite (+0.4%), Hang Seng (+0.3%), and S&P/ASX 200 (+0.1%).
- Commodities: Brent crude fell to USD62.19 per barrel, and gold slipped to USD4,156.61 per ounce.
- Economic Calendar: Eurozone consumer confidence figures due Thursday. U.S. markets closed for Thanksgiving.
- UK Corporate Calendar: Half-year results expected from Halfords and Pennon Group.
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Significant 0 headlines
Speculation 0 headlines
Strategic 0 headlines
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