FTSE 250 movers: Acacia shines bright but bookies bomb on HSBC note

London’s FTSE 250 was up 0.2% to 18,833.45 in afternoon trade.

Gold miner Acacia Mining shone brightly on the back of an upbeat note by Jefferies, which lifted its price target on the stock to 575p from 550p and reiterated its ‘buy’ rating.

It said the once-chronic underperformer continues to deliver operational and financial improvements under new management.

On Tuesday, Acacia said it returned to profit in the final quarter of 2016 as it said 2017 gold production increased to between 850,000-900,000 ounces at lower costs of $880-$920 per oz.

Fourth quarter pre-tax profits rose to $62m compared with a loss of $131.9m year-on-year, while revenues were up to $263.9m from $228.7m.

Ladbrokes Coral and William Hill were under the cosh after HSBC downgraded the bookies, saying they face a consumer spending slowdown and a series of other risks in the coming months.

Hills and Laddies were moved to 'reduce' ratings from their previous ‘hold’.

As well as the well-established threats around fixed odds betting terminals, HSBC said investors should also consider the possibility of a consumer slowdown among other risks, such as intense competition online, tightening regulation and higher levies/taxes - not all of these risks will necessarily materialise but "the balance is negative".

Risers

Acacia Mining (ACA) 529.00p 5.38%
OneSavings Bank (OSB) 368.30p 3.51%
CLS Holdings (CLI) 1,698.00p 3.35%
Senior (SNR) 197.10p 2.87%
Entertainment One Limited (ETO) 252.70p 2.72%
BGEO Group (BGEO) 3,169.00p 2.62%
Ibstock (IBST) 196.00p 2.62%
Diploma (DPLM) 1,073.00p 2.48%
International Personal Finance (IPF) 191.80p 2.46%
Shawbrook Group (SHAW) 264.30p 2.44%

Fallers

Ladbrokes Coral Group (LCL) 121.40p -3.50%
William Hill (WMH) 264.20p -2.87%
Ferrexpo (FXPO) 171.10p -2.56%
Carillion (CLLN) 218.10p -2.24%
B&M European Value Retail S.A. (DI) (BME) 296.00p -2.08%
Tullow Oil (TLW) 270.00p -1.50%
RPC Group (RPC) 922.50p -1.44%
Pets at Home Group (PETS) 181.70p -1.36%
Hochschild Mining (HOC) 267.10p -1.22%
Aberdeen Asset Management (ADN) 265.10p -1.19%