Informa’s shares under pressure after 1H results

Informa, the business intelligence company, reported that 1H adjusted EPS declined 78.4% on year to 5.0p

Charts (5)

Informa, the business intelligence company, reported that 1H adjusted EPS declined 78.4% on year to 5.0p and adjusted operating profit dropped 72.8% to 119 million pounds on revenue of 814 million pounds, down 42.1%. The company added: "The recovery in Mainland China continues to build in pace and scale and the outlook for the remainder of 2020 looks steady, as confidence returns in that market and in the broader region. However, this is more than offset by the slower recovery in North America and elsewhere, with the net consequence a reduction to Group revenue expectations for the full year. We are now tracking closer to the Vigilant Case scenario outlined in our April and June updates."

From a technical point of view, the stock price bounced off the upper boundary of a short term bearish channel and should resume its down trend. Both the 20/50DMAs are playing a resistance role. The daily Relative Strength Index (RSI, 14) is capped by a declining trend line. Below 410p, expect a decline towards March low at 326. Alternatively, a push above 410p would call for a reversal up trend. 

Source: GAIN Capital, TradingView


More from Equities

Disclaimer: The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.

Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex and commodity futures, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to Forex.com or GAIN Capital refer to GAIN Capital Holdings Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.