Friday Email: 13 January 2017
Every Friday morning our lead analyst Mark Riding sends out his weekly run-down and upcoming events in the investor calendar, like this one:
The FTSE 100 has continued its good form well into the new year adding another 100 points this week and testing all time highs on a daily basis. It has gone up pretty much in a straight line since the 2nd December to rise from 6730 to 7320 for a rise of 8.7%.
The past week was quiet on the reporting front although there were good results and a special dividend from one of our model portfolio stocks, Shoe Zone. The price has not done a lot, but i was pretty happy with the results and the dividends. Another good set of numbers came from Supergroup and they increased their interim dividend by over 25%. Savills showed that their business was still doing well in spite of Brexit and the shares rose 15% yesterday.
The week ahead continues to be quiet in terms of dividend declarations as is always the case in January, but there are a good number of trading statements. The entertainment at the moment seems to be coming from the politicians (over here and across the pond), who continue to struggle for credibility. On the markets, we continue to believe that the strength of the equity markets is a result of the large yield gap between bonds and equities.
The Friday email is delivered to over 20,000 subscriber’s every week, and remains a widely read run-down of recent events and what investors can expect in the week ahead written by our chief analyst Mark Riding.
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Read next: 06 January 2017
The past week saw the FTSE 100 hit new highs on Thursday before dropping back to just below 7200. The main news of the week came from Next who signalled another tough year ahead and the shares quickly fell to below £40. However, they did clarify share holder returns with four special dividends of 45p over the next 12 months as well as the ordinary dividend payment which we expect to be flat at158p for a total of 338p. This offers a yield of over 8% which is good in anybody's book. The week ahead remains very quiet.
