FTSE 100 movers: Miners rally; IAG hit by broker note
London’s FTSE 100 was up 0.2% at 7,036.98 in afternoon trade on Friday.
Miners were on the front foot as base metals prices rose, with Antofagasta, Rio Tinto, Anglo American and Glencore all up.
IAG was the worst performer on the index after Credit Suisse cut its price target on shares of the British Airways and Iberia owner to 195p from 256p to reflect the increasing risk of a rights issue.
"We think it is getting increasingly likely IAG looks to raise equity, and while we do not change our forecasts in this note (which are each €0.5bn below Bloomberg consensus EBIT in 2021-2022E), we reflect the risk of shareholder dilution in our target price," it said.
The bank said it is conscious that until the transatlantic market re-opens unfettered, the IAG investment case will remain challenging.
However, it retained its ‘outperform’ rating on the stock, saying it continues to see it as one of the best ways to play ultimate air travel recovery across the value chain, alongside names such as Ryanair, Wizz Air, Airbus and Aena.
FTSE 100 - Risers
Antofagasta (ANTO) 1,454.50p 3.93%
Weir Group (WEIR) 1,755.50p 2.72%
Evraz (EVR) 601.20p 2.66%
Rio Tinto (RIO) 5,280.00p 2.27%
Experian (EXPN) 3,324.00p 2.21%
Anglo American (AAL) 3,092.50p 2.13%
Intertek Group (ITRK) 5,444.00p 1.95%
Ashtead Group (AHT) 5,848.00p 1.78%
Glencore (GLEN) 337.95p 1.75%
Associated British Foods (ABF) 1,963.00p 1.71%
FTSE 100 - Fallers
International Consolidated Airlines Group SA (CDI) (IAG) 145.52p -3.93%
Vodafone Group (VOD) 117.30p -1.33%
Rolls-Royce Holdings (RR.) 109.56p -1.32%
British Land Company (BLND) 516.40p -1.30%
Pearson (PSON) 750.80p -1.26%
Land Securities Group (LAND) 700.80p -1.04%
ITV (ITV) 112.10p -0.97%
Barratt Developments (BDEV) 684.00p -0.96%
InterContinental Hotels Group (IHG) 4,554.00p -0.94%
Coca-Cola HBC AG (CDI) (CCH) 2,460.00p -0.89%