London equities rally in early trade on Friday following the huge 2.4% sell-off on Thursday as bargain hunters return to the market. Resources stocks are to the fore, with some heavily punished financials also enjoying mild appreciation. This after a softer Wall Street and Asia overnight.
Aerospace and marine engineer Rolls Royce (RR.) surges 13.6% to 602p as full-year results are better than feared. Revenue is flat at £13.4 billion and underlying operating profit at £1.4 billion is down 12%. Management guidance for 2016 remains unchanged despite tough current conditions in the industry, sparking a rally in the stock.
Payment processor Worldpay (WPG) continues to defy gravity, gaining 5.2% to 284, despite a heavy sell-off in industry leader First Data (FDC:NYSE) in the US which is down 46% year-to-date. Worldpay by contrast has dipped just 8% so far this year.
Superdry brand owner SuperGroup (SGP) is a weak market, the shares off 8.5% to £12.16 as co-founder and Product & Brand Director Julian Dunkerton offloads £48 million worth of shares (4.9% of the share capital) to institutional investors. The sale of four million shares is said to be due to personal circumstances, though Dunkerton retains more than 22 million shares or a 27.2% stake.
Visitor attraction designer Paragon Entertainment (PEL:AIM) gains 9.3% to 1.5p on news it has entered into a joint representation agreement with H2E, a Latvian designer of museums, attractions and heritage-based projects. Paragon will represent H2E in the UK, while H2E will represent Paragon's offering across Latvia, Scandinavia, the Baltic States and CIS countries.