FTSE 250 movers: Premier Oil gushes lower but Stobart stands tall
London’s FTSE 250 was up 0.1% at 17,512.24 in afternoon trade on Wednesday, kicking off the new year in muted fashion.
Oil and gas exploration and production group Premier Oil was under the cosh as oil prices fell amid worries about oversupply.
Oanda analyst Craig Erlam noted that both crude and WTI are around 40% off their highs of only three months ago and continue to look vulnerable, albeit to a lesser extent than they have in recent months.
"Slower global growth is clearly a strong headwind for oil but I wonder whether the doom and gloom is a little overdone and with OPEC+ seemingly committed to bringing balance back into the market, the bottom may not be far away," said Erlam.
Elsewhere, Intu Properties was in the red as HSBC slashed its price target on the hold-rated stock to 136p from 236p. The bank highlighted two failed takeovers of the shopping centre operator and forced asset sales to reduce its gearing.
"Frankly, there is little by way of an investment case that can be confidently proffered for Intu," it said.
"The equity is pricing in (based on price/book discount of 68%, based on the H118 reported NAVPS) the possibility of the business failing, either financially or to meet its stated objectives. The investment risk is very difficult to measure and a rationale for investing hard to establish."
Bucking the trend, Stobart Group advanced as it unveiled its new expansion plans for Southend airport.
FTSE 250 - Risers
Stobart Group Ltd. (STOB) 152.49p 5.60%
Clarkson (CKN) 2,005.00p 5.53%
Card Factory (CARD) 181.90p 4.90%
Vivo Energy (VVO) 130.00p 4.00%
Euromoney Institutional Investor (ERM) 1,200.00p 3.99%
Inmarsat (ISAT) 394.10p 3.90%
Energean Oil & Gas (ENOG) 652.00p 3.77%
Rathbone Brothers (RAT) 2,410.00p 2.90%
Bakkavor Group (BAKK) 144.80p 2.70%
FDM Group (Holdings) (FDM) 763.00p 2.69%
FTSE 250 - Fallers
Funding Circle Holdings (FCH) 321.85p -6.71%
Premier Oil (PMO) 62.25p -6.46%
Ferrexpo (FXPO) 183.25p -5.86%
888 Holdings (888) 166.60p -4.80%
Intu Properties (INTU) 108.50p -4.32%
Convatec Group (CTEC) 133.55p -3.89%
Mediclinic International (MDC) 311.30p -3.47%
Galliford Try (GFRD) 603.48p -3.13%
Wizz Air Holdings (WIZZ) 2,716.39p -3.06%
Weir Group (WEIR) 1,259.00p -3.00%