FTSE 100 movers: Wise heads give Sage the nod

28th Jul 2009 13:32

Sage is the top riser on the FTSE 100 today on comments market conditions in the quarter ended 30 June 2009 have remained challenging but largely unchanged. Broker Evolution Securities was reassured by the trading update and has raised its rating from "sell" to "neutral" and upped its price target from 120p to 168p. Deutsche Bank, meanwhile, remains bullish on the stock, saying it "represents an attractive mix of defensive qualities coupled with some operational leverage in macro-recovery on the back of recent cost-saving actions". The strong performance in Pearson's shares yesterday after its results was largely due to the company maintaining full-year guidance, despite currency headwinds, Nomura believes. Assuming the company avoids earnings deterioration this year the shares are currently trading on a multiple of almost 12 times 2010 earnings, which Nomura thinks looks reasonable for now. Rexam is down again on yesterday's confirmation that a cash call is imminent, but it is the miners that are the weak spot today. A mixed production update from Xstrata has added to the unease.Ferrochrome production was 60% lower in the first half of 2009 compared with the same period last year, though the group saw increased production volumes of copper, thermal coal, mined nickel and zinc.FTSE 100 - RisersSage Group (SGE) 194.40p +4.85%National Grid (NG.) 574.00p +1.68%Pennon Group (PNN) 466.25p +1.52%Next (NXT) 1,679.00p +1.51%Land Securities Group (LAND) 495.00p +1.23%Cobham (COB) 180.10p +1.12%Kingfisher (KGF) 204.50p +1.11%Bunzl (BNZL) 528.00p +1.05%FTSE 100 - FallersXstrata (XTA) 736.40p -6.38%Rexam (REX) 272.75p -4.13%Old Mutual (OML) 94.19p -4.04%Kazakhmys (KAZ) 816.50p -3.54%Wolseley (WOS) 1,178.00p -3.44%Friends Provident Group (FP.) 69.81p -3.31%Vedanta Resources (VED) 1,656.00p -3.04%Rio Tinto (RIO) 2,380.00p -2.96%