11th October 2013
In their first day of trading Royal Mail shares have soared by just shy of 40%. We look at the top three risers on the FTSE 100 over the past year and see if the brokers are still calling them a ‘buy’ or a ‘sell’ writes Philip Scott.
International Consolidated Airlines Group – One year share price rise: 111%
Formed in January 2011, IAG is the parent company of British Airways, Iberia and Vueling and one of the world’s biggest airline groups, every year carrying 69m passengers in its 377 aircraft to 230 destinations. It is a Spanish registered company with shares traded on the London Stock Exchange and Spanish Stock Exchanges. The group recently said that September group traffic measured in revenue passenger kilometers increased by 8.8% versus September 2012. Broker Macquarie restated their outperform rating on IAG shares in a research note issued to investors, AR Network reports. Keith Bowman, equity analyst at Hargreaves Lansdown says: “The Iberia re-structure is still ongoing and a positive for the business. Right now the broker consensus is very positive too, with the market consensus being a ‘strong buy’.
Easyjet – One year share price rise: 110%
The budget carrier maybe currently enduring some major flight disruption due to a one-day strike by French air traffic controllers but the airline has enjoyed a very strong share price bounce in the past year, up 110%. The European group, operates on over 600 routes across more than 30 countries with a fleet of 200 aircraft. Employing over 8,000 people including 2,000 pilots and more than 4,500 cabin crew, in 2012 it flew over 60m passengers. According to EasyJet is increasing capacity for next summer by almost 300,000 seats. The outlook remains good for Easyjet and with more and more people in the UK and across Europe looking for cheaper deals on their plane tickets, it bodes well for the firm. Right now brokers are calling it a ‘buy’
ITV – One year share price rise: 103%
One of the UK’s five terrestrial broadcasters, it delivered a solid performance in its first half with revenues edging up 2% to £1.31bn, on the back of growth in the ITV studios business, behind such hits as Downton Abbey. The group was formed after the merger of Carlton and Granada in 2004. As well as its terrestrial ITV1 channel firm has also launched a number of free to air digital channels including ITV2, ITV3, ITV4 and ITVPlay. The group also owns GMTV and cinema screen advertising businesses in the UK, Europe and the US. The business is very sensitive to advertising spend and any increase would be good for its share price. Right now brokers are calling it a ‘strong hold’ edging towards a ‘cautious buy’.