Banking group NatWest (NWG) has announced a share consolidation and further details of its special dividend payment, nudging shares in the lender 0.3% higher to 254.9p. SHARE CONSOLIDATION A share consolidation is a corporate action conducted by a company with the intention of reducing the number of its shares trading on the stock exchange. It does so by reducing the number of shares held ...

The UK domestic banks second quarter reported season has prompted renewed interest in the sector from investors. The results, for the most part, were characterised by earnings exceeding consensus expectations and management upgrading their return on equity forecasts for 2023. NatWest (NWG) was the standout star performer, and Barclays (BARC) produced the least inspiring set of numbers. Second ...

-Shares jump on earnings beat and raised guidance -Special dividend equivalent to 7% of market capitalisation -Results confirm group as standout beneficiary of rising rates Shares in NatWest Group (NWG) jumped 7% in early trading following the release of second quarter results that were significantly ahead of market expectations. Management have significantly upgraded their 2023 ...

Rising interest rates are typically good news for banks and recent results have been encouraging but UK banking stocks have singularly failed to deliver so far in 2022. This reflects their close ties to the UK economy amid concerns of a possible recession – something which is neatly illustrated by the relative outperformance of HSBC (HSBC), which has a much bigger presence in Asia than ...

A lot of water has passed under the bridge since one-time star fund manager Mark Barnett was replaced at the helm of Edinburgh Investment Trust (EDIN) – a global pandemic, a stock market collapse and widespread overhaul of the portfolio. Now almost three years on, the results speak for themselves and Shares believes investors can expect more of the same in the years ahead. Since Majedie ...

Every chief executive talks about creating shareholder value, but which ones walk the walk? While the investment trust industry can count on 27 managers with at least 20 years under their belt at the same firm, there are very few FTSE 100 chief executives with that kind of track record. The most obvious is Simon Wolfson (pictured), who has headed Leicestershire-based high street retailer ...

The key takeout from the UK banks’ first quarter earnings season is that the market is more focused on a deteriorating credit cycle than the fact reported earnings exceeded forecasts. This was reflected in languishing share prices for companies apart from emerging markets-focused Standard Chartered (STAN) where its stock price jumped 14% following its earnings release. There are several ...

So far in 2022 investors have had to stomach significant market volatility thanks to worries over rampant inflation, rising interest rates and, more recently, the war in Ukraine. Given the uncertainties ahead, including the impact of the Ukrainian conflict on the outlook for global growth as the world emerges from Covid, volatility looks certain to continue and so investors may well be looking ...

Royal Bank of Canada’s recent £1.6 billion bid for rival asset manager Brewin Dolphin (BRW) at a 62% share price premium, has highlighted what a scarce and valuable asset Rathbones (RAT) is on the stock market. And despite a rally on a read-across from the Brewin news, the shares are currently trading on just 12.3 times forecast earnings and offer a 4.2% dividend yield. Investors ...

TEMPLE BAR INVESTMENT TRUST (TMPL) £11.64 Loss to date: 1.9% Original entry point: Buy at £11.87, 13 January 2022 Recent choppy market conditions have left our ‘buy’ call on Temple Bar (TMPL) 1.9% in the red, but we still believe the UK equity income trust is well-positioned in an environment of runaway inflation and rising interest rates given its focus on value stocks. A ...

For much of the past five decades a conventional balanced portfolio made up of 60% shares and 40% bonds has served its purpose. The rationale behind this approach has been that bonds cushion volatility and provide income, and act as a counterbalance during a bear market. Conversely stocks provide the capital upside during a bull market. More recently the two asset classes have become more ...

While the wider market has fallen sharply due to war in Ukraine, weak full-year results from Lloyds (LLOY) would likely have received a negative market reaction regardless. The stock is down 9.1% to 47.4p, falling more than the wider market and its immediate peer group. The quantum of the fall is more than double that of the 4.4% decline seen in NatWest (NWG) shares, for example. The ...

Over the last decade UK shares have lagged their global counterparts, in part thanks to the disruption from Brexit, and that is reflected in the performance of the UK All Companies funds sector. A recent shift in the market towards value suggests it could be time for this space to play catch up. Funds in the category have a pretty broad remit, beyond having 80% of their assets in UK stocks and ...

The market response to the start of the banks reporting season in the form of numbers from NatWest (NWG) (18 Feb) and HSBC (HSBA) (22 Feb), has been decidedly lukewarm. Share prices in both banks drifted lower on results. This looks surprising given that NatWest’s results were ahead of consensus. The group upgraded future guidance and announced a £750 million share buy-back. HSBC’s ...

Shares in NatWest (NWG) lost more than 4% in spite of full year results to 31 December 2021 beating earnings forecasts. The shares fell around 10p to 230.1p in Friday trading, getting the UK bank’s reporting season off to a disappointing start. HSBC (HSBA), Barclays (BARC) and Lloyds (LLOY) are all due to report next week. It's not easy to put a finger on exactly why the stock is quite ...

With the FTSE 350 banks index having doubled in price since hitting a low in September 2020 on value hunting in the first instance and the prospect of higher interest rates more recently, the UK’s big four high street banks now need to repay investors’ faith. Their chance to do that comes this month with the release of their full year results, starting with NatWest (NWG) on 18 ...

Investor interest is likely to focus on the UK banking sector following the Bank of England’s historic decision to make back-to-back interest rate increases. The decision to raise the base rate from 0.25% to 0.5% should be positive for the banks which are due to report full year 2021 earnings later this month. Moreover, given that inflationary pressures are endemic within the ...

A global equity markets sell-off at the start of 2022, driven by concerns over hot inflation and rising interest rates, together with growing tensions between Russia and Ukraine, has left many investors nursing significant portfolio losses. Those with exposure to the technology-rich Nasdaq index across the pond have endured a particularly punishing 2022 so far, as monetary policy ...

After a weak morning session, UK shares recovered over the course of the afternoon to close at the highs of the day thanks to a rally in banks and other financial stocks which more than offset further falls in house builders and weakness in retailers. Gold was down 0.2% at $1,823 an ounce while Brent crude was 0.2% higher at $84.35 a barrel. Sterling continued its advance against the dollar, up ...

After a weak session in Asia overnight, UK shares recovered from their morning lows to trade sideways at lunchtime as banks and other financial stocks crept higher, offsetting further falls in house builders and weakness in retailers. Gold was down 0.2% at $1,823 an ounce while Brent crude was 0.2% higher at $84.35 a barrel. Sterling continued its advance against the dollar, up another 0.2% to ...