The decision by online trading company IG Group (IGG) to increase the margin it requires for trading in over 1,000 small-cap stocks to 100% sparked fears small cap-stocks could crash as some investors were forced to dump holdings they can no longer afford to finance. The main advantage of spread betting is the financial leverage that it provides, whereby clients can open and run positions with ...

Shares in tool and equipment hire specialist HSS Hire (HSS) have accelerated 8.2% to 30p after making significant progress with its turnaround strategy. Last year, HSS suffered several setbacks, including a slower than expected recovery in sales and an extended restructuring programme. It appears the company’s strategy of transitioning to a new distribution model and reducing debt is ...

Many investment experts believe there is a strong correlation between a change in earnings forecasts and a company’s share price. Analysts raising their expectations for future earnings often results in a higher share price (and vice versa) for the recipient company, hence why investors like to know which stocks are in this situation. Investment bank Canaccord Genuity has this week ...

The FTSE 100 is 36.23 points higher this morning at 7,373.66 taking its cue from strength in US and Asian markets overnight as concerns over North Korea died down. Troubled tool hire outfit HSS Hire (HSS) slumps 18.9% to 45p as it warns a recovery in sales will be ‘materially slower’ than expected and reports an increase in its first half pre-tax loss from £7.8m to £30.1m. Soft ...

A lengthy list of stocks going ex-dividend weighs on the FTSE 100, off 34 points at 7,315 early on, the blue chip benchmark tracking falls on Wall Street overnight and in Asia this morning. Royal Mail (RMG) posts a 2.2% gain to 428.4p despite warning its pension plan surplus will run out in 2018. Annual contributions of £400m could more than double to £1bn-plus in 2018 ‘if no changes are ...

UK shares face another pre-holidays lull on Thursday with investors lacking the appetite to drive London shares one way or the other. The FTSE 100 nudges a modest 6 points or so lower at 7,035, staying making a pre-Christmas close above the 7,000 mark more likely. In a quiet day for corporate news car dealer Inchcape (INCH) has agreed to pay £234m in cash to acquire a Subaru and Hino ...

Takeovers are back on the agenda for the UK stock market. We aren’t surprised, given favourable conditions for M&A (mergers and acquisitions) have been in place for some time. The cost of borrowing is low; sterling devaluation makes British companies a more attractive proposition to overseas buyers; and volatile conditions in certain sectors have left some decent businesses in a ...

The FTSE 100 slips 0.2% to 6,805 in early trading on Thursday 24 November, dragged down by weakness in defensive stocks like utilities and consumer staples businesses. The property sector is in focus yet again as estate agents respond to the Government’s decision to clampdown on lettings fees and a few companies update on trading. A mild profit warning sends estate agent Countrywide ...

Activist investor fund Crystal Amber has a knack of getting its own way. Last week publisher Johnston Press (JPG) announced it was considering selling off assets, a move that may have been prompted by stake building from Crystal Amber. But it is the investor’s 4% holding in van hire outfit Northgate (NTG) which has caught our eye. Crystal Amber’s investment in the UK market leader ...

Anyone looking for evidence Donald Trump’s election has sparked a ‘dash for trash’ need look no further than the government bond market. The best performing government debt in the world this week belongs to Greece: the country’s 10 year bonds were one of only a handful of fixed income securities to gain in value since the US vote. The price of most countries’ government bonds ...

Rental equipment provider Speedy Hire (SDY) says its recovery plan is helping to stabilise the business following earlier setbacks. Speedy Hire says its full year pre-tax profit will beat expectations partially as a result of lower overhead costs including 100-plus job cuts. Investment bank Liberum has upgraded its full-year pre-tax proft estimates by 12% to £11.3 million and maintains its ...

London shares are firm in early trade on Thursday as investors look to August UK manufacturing PMI data due later this morning. The FTSE 100 adds 40-odd points, or about 0.6%, to 6,823. Among the bigger stories is Media FTSE 250 Ascential (ASCL). Its shares slump more than 5% to 251p as major shareholders Apax and the Guardian Media Group (GMG) flog substantial chunks of their respective ...

Buy equipment rental play HSS Hire (HSS) ahead of half year results on 31 August as expectations are so low for the business that the slightest bit of good news could propel the share price. A poor first year as a public company sees the stock trade around two-thirds lower than its February 2015 initial public offering (IPO) price of 210p a share. Activitist investor and ...

Speedy Hire’s (SDY) board has for the second time in less than a year ruled out a bid for rival HSS Hire (HSS) following pressure from major shareholder Toscafund to consider a tie-up. A statement on 12 August says Speedy ‘continues to have no intention of making an offer for HSS’, kicking a deal into the long grass for another six months under the rules of the Takeover ...

Activist investor Toscafund has called for Speedy Hire (SDY) to fire its executive chairman Jan Astrand after he rejected its attempts to force a merger with rival HSS Hire (HSS). Toscafund, which owns 19% of the shares of both companies, says business combinations in the tool hire industry are needed because of substandard industry profitability. While Toscafund’s letter to Speedy ...

London stock markets rally in early trade on Wednesday as eurozone finance ministers agree to unlock €10 billion in bailout funds. The agreement, alongside the International Monetary Fund, will release fresh loans to Greece after agreeing the nation had met its obligations. This puts investors in bullish mood, coming on top of gains on Wall Street and in Asia overnight, with US new home sales ...

The mantra ‘sales for show, profit for dough’ used to be thought of as a sensible way of managing a business, but prioritising margins over sales growth can be a risky tactic. You only need to look at the experience of Restaurant Group (RTN) to see why. Restaurant Group has maintained a high operating margin over the past few years, but like-for-like sales have been fairly lacklustre. In 2015 ...

Equipment rental firm Lavendon (LVD) flags trouble in the Middle East as the slump in the value of oil hits pricing and payment terms in its Saudi Arabian operations. However, investors like progress elsewhere in the business with full year results triggering a 2.5% rise in the share price to 136.51p. Pricing in Saudi slipped 6% over 2015 as increases in prior years skewed the balance ...

It’s that time of the year when many people’s thoughts have turned to self-improvement. Let’s join the gym, avoid the pub and buy a self-help book in the hope that this year will be different. Come March or April, we’re all back to our old habits. It’s a different situation in the corporate world. The mantra of ‘self-help’ is a key driver for earnings and share prices that runs ...

There are several potential catalysts in 2016 that could reverse the fortunes of printing technology manufacturer Xaar (XAR), and spark a re-rating of the shares at 452p. The Cambridge and Huntingdon-based company has wisely invested heavily in research and development (R&D) even in the face of ebbing Chinese consumer spending during the past year to 18 months. Xaar is a world-leading ...