Image Source: PexelsThe FTSE 100 in the UK fell in early trade on Thursday due to declines in financial and mining stocks, but Virgin Money UK’s shares surged on a possible buyout offer. The blue-chip FTSE 100 was down by 0.3% early before staging a reversal into the green, closing with a 0.56% gain on the session.On the negative side of the ledger Entain’s shares fell 1.9% to 814 pence after the gambling firm announced that regulatory measures in the UK and Netherlands would impact its profit forecast for the current financial year. It expects core profit for 2024 to decrease by about 40 million pounds ($50.93 million) and will provide a profit forecast for the year in August. The company reported a marginal rise in 2023 profit but a 3% fall in total online gaming revenue on a pro forma basis. The stock is down 40% in the last 12 months as of the last close. Melrose, a British aerospace supplier, saw its shares drop by 3.4% to 611.6p, marking the biggest percentage drop since November 2023. The company flagged revenue headwinds due to industry-wide supply chain issues and short-term destocking related to commercial aircraft build rates. Additionally, Melrose faces revenue challenges from planned exits and disposals in its structures division. Despite this, the company raised its 2024 adjusted operating profit outlook by £30 million ($38.21 million) and expects revenue between £3.6 billion and £3.75 billion in 2024. Melrose reported a 164% increase in FY adjusted operating profit to £390 million. The stock had seen a 92% increase in the last 12 months as of the last close.On the positive side of the ledger UK insurer Aviva’s shares are up 3.7% at 471.8p, marking its best day in nearly 18 months. The company reported a 9% growth in annual operating profit, exceeding expectations, and announced a share buyback of 300 million pounds. Aviva is confident about its 2024 outlook and has upgraded its dividend guidance. It expects to achieve an operating profit of 2 billion pounds by 2026. Rentokil Initial, a British pest control firm, saw its shares soar by 14.1% to 489p, reaching their highest level since October 19, 2023. The company posted a 50% jump in annual profit and aims to achieve more savings from the integration of Terminix. It has pushed back the completion of Terminix integration by one year to 2026 and raised its gross synergy target by $50 million. The stock was previously down 13% in 2023.
FTSE Bias: Bullish Above Bearish below 7650
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