FTSE 100 movers: Diageo boosted by upgrade, Rentokil extends losses

London's FTSE 100 was heading higher on Thursday, lifted by strong gains from Diageo and a host of mining stocks, while the downside continued to be led by Rentokil.

Rentokil Initial was down 3%, extending losses after a 20% plunge on Wednesday following a profit warning. The pest control firm said full-year adjusted operating profits would be £50m lower than current expectations, prompting analysts at Barclays, Deutsche Bank, UBS and JPMorgan to slash target prices for the stock on Thursday.

Among the best performers was drinks giant Diageo, up nearly 3% after being boosted by an upgrade from 'neutral' to ‘buy’ at Bank of America Merrill Lynch. The investment bank raised its target price for the shares from 2,600p to 2,800p, with analysts expecting earnings growth to stabilise after a challenging year for the company.

The heavyweight mining sector was also performing well as copper futures gained 1.2% to a two-week high, with Anglo American, Glencore and Antofagasta all making gains.

M&G was the heaviest faller of the day after going ex-dividend, meaning the investment management stock was trading without the right to its latest shareholder payout.

Shell and BP were making small gains as the price of crude attempted to bounce back following heavy falls over the past month. Brent was up 1.7% at $71.78 a barrel in afternoon trade.

FTSE 100 - Risers

Sage Group (SGE) 1,029.00p 3.17%
Diageo (DGE) 2,498.50p 2.65%
JD Sports Fashion (JD.) 143.50p 2.65%
Intermediate Capital Group (ICG) 2,208.00p 2.60%
Anglo American (AAL) 2,051.00p 2.42%
Experian (EXPN) 3,748.00p 2.35%
Weir Group (WEIR) 2,028.00p 2.27%
Relx plc (REL) 3,663.00p 2.18%
Smurfit Westrock (DI) (SWR) 3,341.00p 2.11%
Glencore (GLEN) 370.45p 2.11%

FTSE 100 - Fallers

M&G (MNG) 201.80p -3.49%
Rentokil Initial (RTO) 368.70p -3.00%
AstraZeneca (AZN) 12,184.00p -1.01%
British American Tobacco (BATS) 2,957.00p -0.90%
Haleon (HLN) 391.50p -0.63%
Sainsbury (J) (SBRY) 297.20p -0.60%
Hikma Pharmaceuticals (HIK) 1,923.00p -0.47%
NATWEST GROUP (NWG) 329.50p -0.33%
GSK (GSK) 1,649.00p -0.33%
Unilever (ULVR) 4,954.00p -0.28%