A trading statement from online estate agents Rightmove this morning rattled the market, taking a significant toll on the company’s valuation. Whilst there was no material change in terms of guidance for the current year, the note highlighted that significant investments were needed to transform the business and harness the potential of AI. As a result, underlying operating profit growth of 3%-5% is now seen for FY26. Whilst that should yield results beyond 2030, investors appear reluctant to buy in. The Rightmove share price was down 20% in early trade.
International Consolidated Airlines Group
Airline operator IAG published a Q3 update this morning which left the market underwhelmed. Revenues were up, but pre-tax profits fell. Weakness is being seen in cargo shipping rates, whilst the North American market – which the group has expanded heavily into – was also showing signs of distress as both holidaymakers and business travellers cool on the destination. Foreign currency headwinds further exacerbated the situation and the IAG share price was off the initial lows but still down around 6% shortly after the open.
Production company and broadcaster saw its shares shoot higher on Friday morning after management confirmed rumours that the sale of its media and entertainment arm to Sky was being considered. That covers the traditional broadcast channels along with the ITVX streaming service and an enterprise value of £1.6bn is being mooted. The ITV share price added 20% although as is typical in such situations, there’s no certainty any such deal would complete.
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Response to Recent Speculation - - ITV (ITV)
