FTSE 250 movers: Sports Direct storms, Tullow gushes lower
London's FTSE 250 soared 1.57% higher at 21,845.34 in afternoon trade on Monday, with Sports Direct leading the index upward.
The sportswear retailer surged as it posted a rise in half-year profit and revenue and said it expects earnings to rise this year, although it also warned of more House of Fraser store closures.
Commenting on chief executive Mike Ashley's plans to rebrand the business, AJ Bell analyst Russ Mould said the transition would require a different skill set from the one which helped Ashley grow the company from a single store in Maidenhead in 1982.
"You can understand the appeal of moving towards the premium end, given the potential for higher margins, but such a move is fraught with risk. Ashley will have to walk a tightrope to ensure he does nothing to undermine his premium brands which, after all, are what allow you to charge higher prices for products," added Mould.
Chemicals business Synthomer climbed after being initiated with a 'buy' rating by analysts at Jefferies, while Cineworld rose after saying it had agreed to buy Canadian cinema chain Cineplex for $2.1bn.
Down at the other end of the index, Tullow Oil gushed lower after a downgrade to ‘reduce’ at HSBC.
Pub operator Mitchells & Butlers was also the red after a downgrade to ‘hold’ by the same outfit, while Virgin Money was hit by downgrades at HSBC and Barclays.
Market Movers
FTSE 250 (MCX) 21,845.34 1.57%
FTSE 250 - Risers
Sports Direct International (SPD) 463.20p 28.67%
Moneysupermarket.com Group (MONY) 328.60p 6.10%
Hochschild Mining (HOC) 165.30p 5.76%
NewRiver REIT (NRR) 205.50p 5.38%
Stagecoach Group (SGC) 162.40p 5.32%
Royal Mail (RMG) 249.00p 5.29%
Computacenter (CCC) 1,681.00p 5.26%
Wood Group (John) (WG.) 391.90p 5.01%
Synthomer (SYNT) 341.20p 4.92%
Cineworld Group (CINE) 215.70p 4.66%
FTSE 250 - Fallers
Tullow Oil (TLW) 61.60p -9.14%
Mitchells & Butlers (MAB) 440.50p -5.47%
Virgin Money UK (VMUK) 208.00p -3.97%
Future (FUTR) 1,326.00p -2.64%
Marston's (MARS) 126.60p -2.62%
PureTech Health (PRTC) 274.00p -1.79%
Riverstone Energy Limited (RSE) 403.00p -1.47%
Vivo Energy (VVO) 127.20p -1.40%
PZ Cussons (PZC) 194.00p -1.32%
Big Yellow Group (BYG) 1,163.00p -1.02%