I find it strange that after Mario Exceeded expectations it seems most people are still not happy. Not saying what he will do will light up the European economy but he has far exceeded expectations. This picture sums it up nicely It will take time for everything to be digested and will take time to…
Delta Lloyd: 200DMA Bounceola Cheap relative to the sector and market. However it has had a tough time recently and is unloved. It has a lot of positives RoEs are expected to increase to a very healthy 17.2% in ’15, and offering a divi yield of around 5.3%. As a name the big story is capital…
WOLSELEY: Buy as the US average 30 Year Fixed Mortgage Rates decline to 4.08 WOS has been a serial Underperformer vs peers and has been in an earnings downgrade cycle. We feel that they are at an end. Recent US housing data in May is supportive as it shows we are recovering from the…
Just reading the blog on WSJ and talking to our spec sits desk and it looks like the bump is not possible now. Its a bit too messy and although they technically have till Monday it seems unless the AZN board accepts the £55 a share offer(which they have already rejected) there is no more…
Been buying AZN this morning PFE can still bump with Panel and AZN board approval PFE misjudged the level at which AZN would talk – splitting the bid / ask as indicated by AZN in their statement didn’t work Don’t think PFE to walk from a massive deal for such a small price. AZN is…
Short Enel as a Trading Call ENEL has an almost 1 to 1 correlation to the Italian bond price. The more we find out about the European version of QE it seems the most efficient/likely way will be through lending channel. ABS purchases will be the way they go. The latest peripheral bond yield…
Numbers where poor and although not loved by analysts could well be dead money for now. Still relatively well owned especially by the hedgies. However I still think the sale of the Spanish loans is a ST positive. Talk of 4 interested parties looking at a 4-5bn and a bid expected within 4 weeks. Having…
We are cutting ARM here, the stock has fell out of favour of late despite posting a 37% rise in 1Q license revenues and strong expectations for the 2H The market has focused on royalty revenues, which rise of 3%, disappointed given its valuation We still believe ARM is a great long-term play, leveraged into…
Peugeot one of our key calls in the France/CAC call Been a nice trading stock in and around the rights and the re-weight Now time to play them again on the long side Still a great European restructuring story Our Spec sits desk have done a study on the technical side of the rights trade…
Reading a piece from Exane on the AstraZeneca and the index implications. They are saying the new entity as most people think will be UK incorporated holding company and to be listed on the New York Stock Exchange. If the deal goes ahead Astra will leave most of the European Indices. (FTSE UK (FTSE All…