FTSE 100 eases back from record high

UK Investor Magazine
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FTSE 100 eases back from record high

The FTSE 100 touched fresh intraday record highs on Thursday before easing back as London’s defensive attributes attracted investors amid a US tech sell-off.

London’s leading index was trading down 0.3% at the time of writing after hitting an intraday record of 9,301 earlier in the session. 

The FTSE 100’s more defensive-oriented stocks were among the leaders that helped keep losses contained on Thursday, with BAE Systems, Fresnillo and Whitbread having a solid session.

Much of the downside for the FTSE 100 on Thursday was a result of stocks trading ex-dividend. Legal & General and Imperial Brands were among those losing the right to upcoming dividends.

For years, the absence of major technology firms has meant the FTSE 100 lagged global peers such as the S&P 500, but 2025 has seen a significant outperformance of the FTSE 100 due to its weighting to sectors such as defence, pharma, and utilities.

This was again the case this week, with the FTSE 100 touching fresh highs as US stocks faltered after the release of Federal Reserve minutes.

“It’s not too often that the FTSE 100’s lack of technology exposure is a virtue but it has been this week,” says AJ Bell investment analyst Dan Coatsworth.

“Amid selling in Europe and the US, the UK’s flagship index tested new highs above 9,300. Old world economy stocks like banks, energy companies and insurers have been to the fore – with their generous dividends in demand with investors.

“In the US overnight, tech names trimmed heavier losses seen earlier in the trading session.”

Although names such as Babcock, BAE and Weir helped provide support for the index, losses for Mondi, Legal and General, and Coca Cola HBC weighed.

All eyes will now be on Jackson Hole and the Fed Chair for further hints on the trajectory of interest rates.

AIM movers: boohoo financial restructuring and ex-dividends

Andrew Hore
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AIM movers: boohoo financial restructuring and ex-dividends

Versarien (LON: VRS) says the acquisition of its graphene IP by a potential joint venture with a Chinese business has been blocked by the UK government. A strategic investment is still possible. The share price rebounded 64% to 0.0164p.

Wishbone Gold (LON: WSBN) says drilling at the Red Setter gold dome project in Western Australia has reached 777 metres and the breccia pipe is 152 metres long. Drill core is being transported to be assayed. The share price improved 12.2% to 1.06p.

Online retailer boohoo (LON: DEBS) has completed a refinancing that provides up to £175m over three years. This replaces a £125m facility. The share price recovered 7.03% to 14.92p.

Andrada Mining (LON: ATM) has completed construction of a second processing plant at the Uis tin mine within budget. Tin output should significantly increase. The share price rose 6.9% to 3.1p.

FALLERS

Pulsar Helium Inc (LON: PLSR) has raised £3.72m at 23p/share and Universal Bancorp has raised its stake to 4.99%. The cash will be invested in developing the Topaz helium project in Minnesota. There are plans for ten appraisal wells. There will also be a preliminary economic assessment and resource update. The share price fell back 19% to 23.5p.

Image Scan (LON: IGE) is being hampered by further delays to a major defence contract and difficulties securing components. That will hit second half revenues. There was £771,000 in the bank at the end of July 2025. Zeus has withdrawn forecasts. The share price declined 10.3% to 1.3p.

Packaging manufacturer Robinson (LON: RBN) increased interim operating profit by one-quarter to £2.04m on a 2% increase in revenues to £27.6m. Additional working capital increased net debt to £8.5m, but the second half should be a strong cash generator. The share price has been on an upward trend because of property disposals and profit upgrade. There was some profit-taking and the share price slipped 4.84% to 147.5p.

Eurasia Mining (LON: EUA) says share trading has commenced on the AIX, and the currency is US dollars. The share price fell 4.17% to 4.6p.

Ex-dividends

Cohort (LON: CHRT) is paying a final dividend of 11.05p/share and the share price is 12p lower at 1210p.

Samuel Heath & Sons (LON: HSM) is paying a final dividend of 8.56p/share and the share price is unchanged at 335p.

Supreme (LON: SUP) is paying a final dividend of 3.4p/share and the share price decreased 3.5p to 178.5p.

Convatec Group: after recent Interims FTSE-100 group’s shares on the upward move again 

Mark Watson-Mitchell
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Convatec Group: after recent Interims FTSE-100 group’s shares on the upward move again 

In the last day or so the shares of the ConvaTec Group (LON:CTEC) has been one of the standout performers, climbing nearly 6% following the medical products company announcing a chunky share buyback programme of up to $300m. 
ConvaTec operates in four chronic care categories, which have market growth rates varying between 4-8% p.a.  
It sells over 900m high-quality consumable products annually for a diverse range of chronic conditions and are among a small number of leaders in the categories in which we operate. 
The group expects to consistently grow revenues faster than each m...

Cloudbreak Discovery shares soar on ‘encouraging’ gold sampling results

UK Investor Magazine
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Cloudbreak Discovery shares soar on ‘encouraging’ gold sampling results

Cloudbreak Discovery shares rocketed higher on Thursday after announcing early results from gold exploration activities in Western Australia.

Cloudbreak Discovery has reported what it calls ‘very encouraging results’ from its inaugural gold sampling programme at the Darlot West Gold Project.

Shares in the company were over 150% higher after Cloudbreak said maiden exploration work had yielded gold grades significantly above expectations.

Surface rock chip sampling across four distinct prospect areas has returned multiple significant results, with the highest grade reaching 28.62 grammes per tonne of gold. A repeat assay of this sample confirmed the exceptional nature of the find, returning an even higher grade of 34.15g/t Au.

Other notable results from the programme include grades of 4.50g/t, 2.62g/t, and 1.30g/t gold. These findings demonstrate consistent mineralisation across multiple areas within the project.

The Darlot West project sits just 10 kilometres southwest of the renowned Darlot Gold Mine, which has produced 2.8 million ounces of gold to date.

“These gold results from our initial field trip and the investigation, carried out as part of the Company’s due diligence on the tenement, are exceptionally good. Getting results approaching an ounce of gold per tonne are not common and are much better than we had expected,” said Tom Evans, Cloudbreak’s MD.

“An exploration programme is being planned to further understand the extent of gold mineralisation and the areas gold ounce potential. We look forward to providing further updates with respect to additional exploration to be completed.”

WH Smith slashes profit expectations amid accounting irregularities

UK Investor Magazine
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WH Smith slashes profit expectations amid accounting irregularities

WH Smith shares were down 30% in early trading on Thursday after the group announced a sharp reduction in group full-year profit expectations.

WH Smith has slashed its profit expectations for North America by £30m following a financial review that uncovered accounting irregularities.

The travel retailer now expects headline trading profit from its North America division to reach approximately £25m for the year ending 31 August 2025. This represents a dramatic fall from previous market expectations of around £55m.

The overstatement stems largely from the premature recognition of supplier income within the North America operation. WH Smith’s board has commissioned Deloitte to conduct an independent review of the issues.

The revision means the group’s full-year headline profit before tax will be around £110m. Further details will be provided when WH Smith announces its preliminary results.

WH Smith reported £160m headline profit before tax for the year ended August 2024, and investors are bitterly disappointed they are staring down the barrel of PBT coming in a third less in 2025.

The fact that the profit warning is largely down to an own goal will make the news even more painful.

WH Smith shares are now trading at less than half of their 2023 high.

Inheritance tax receipts rise again

UK Investor Magazine
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Inheritance tax receipts rise again

Inheritance tax receipts have continued their upward trajectory as asset prices rise and major estates are dragged into paying the tax.

Income tax receipts surged dramatically in July, driven by a combination of the self-assessment deadline and the ongoing freeze on tax thresholds.

Inheritance tax receipts for the period from April 2025 to July 2025 reached £3.1 billion, representing an increase of £200 million compared to the same period last year.

“Inheritance tax receipts continue their unrelenting rise, hitting £3.1bn for the year so far. We are only part of the way through the year, but it already looks likely we are in for another record year for this most unpopular of taxes,” said Helen Morrissey, head of retirement analysis, Hargreaves Lansdown.

“The decision to include pensions for inheritance tax purposes has garnered a lot of attention and has put the tax firmly on people’s radar. This means that those who think they may be affected can start putting a strategy in place to try and mitigate it.”

Morrissey suggested there are quick and easy methods to reduce the IHT bill, such as gifting, although this won’t make a dent in the bills that larger estates have to pay.

“There are various gifting allowances such as the £3,000 annual allowance as well as gifting out of surplus income that will prove useful. However, it is hugely important that someone does not gift away too much too early to loved ones and potentially leave themselves short in their haste to avoid this tax,” Morrissey said.

Premier African Minerals raises cash after share price increase

UK Investor Magazine
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Premier African Minerals raises cash after share price increase

Premier African Minerals’ management has sprung into action after a rise in the share price to use the opportunity to raise a little of £1m to fund lithium mine optimisation and to pay off debts.

Premier African Minerals Limited has raised £1,380,000 before expenses through a share subscription for its Zulu Lithium and Tantalum Project. The funding was secured by issuing 6 billion new ordinary shares at 0.023p per share.

The raised capital will serve four primary purposes: refining and optimising the Primary Flotation Plant, potentially funding an alternative spodumene float plant pending review, covering operating expenses and debt settlements during ongoing negotiations, and providing general working capital.

CEO George Roach highlighted that the funding price represents a significant premium to the previous funding round, reflecting the company’s progress. Anyone who bought yesterday above 0.03p may have a different view.

“We are very pleased to have completed this capital raise at a price representing a significant premium to our last funding round, and see this as clear recognition of the progress we are making,” said George Roach, CEO.

Premier African Minerals shares touched 0.037p yesterday after trading as low as 0.01p in June.

AIM movers: Inspiration Healthcare recovery and Angling Direct momentum continues

Andrew Hore
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AIM movers: Inspiration Healthcare recovery and Angling Direct momentum continues

Premier African Minerals (LON: PREM) has completed the second phase of the test runoff the primary flotation plant at the Zulu lithium and tantalum project. It is able to run continuously and has achieved saleable lithium concentrate levels on numerous occasions. Minimum requirements of the offtake. The purchase of the second plant has been delayed. The share price regained 28.6% to 0.0315p.

Education software and services provider Tribal Group (LON: TRB) is continuing its share price recovery following yesterday’s interims and forecast upgrade. Singer raised its 2025 pre-tax profit forecast to £10.8m. The share price improved 13.2% to 60p.

Neo-natal medical devices developer Inspiration Healthcare (LON: IHC) increased interim revenues by 41% to £24m and gross margins improved. During the period a $6m humanitarian aid contract was delivered. The sales momentum is continuing in the second half. Deliveries for the Middle East contract have started and should be completed in the second half. Net debt has been reduced by £1.6m to £6.7m. The share price recovered 9.52% to 23p.

Fishing tackle retailer Angling Direct (LON: ANG) increased interim UK revenues by 18% to £51.1m, with online revenues 21% ahead. Like-for-like sales were 14% higher. European sales edged up from £2.4m to £2.5m. The store in Utrecht was opened in May 2024. After investment and share buy backs net cash reduced to £12.5m. Trading is comfortably in line with consensus market expectations. The results to July 2025 will be published on 7 October. The share price increased 6.67% to 48p.

FALLERS

Mobile Tornado (LON: MBT) has fallen a further one-fifth to 0.4p after yesterday’s AGM where it gained shareholder approval to leave AIM. The quote will be cancelled on 9 September.

Exane BNP has cut changed its recommendation for mixer drinks supplier Fevertree Drinks (LON: FEVR) to underperform and set a share price target of 740p. Earlier in the week Jefferies raised its share price target from 820p to 900p. The share price declined 8.48% to 863p.

Sovereign Metals (LON: SVML) says Kasiya rutile graphite project test pit rehabilitation trials achieved a five times crop yield improvement. That supports sustainable mining. This information will be used in the mining schedule and post-mining land use parts of the DFS. The share price slipped 5.93% to 36.5p.

Jangada Mines (LON: JAN) has completed its acquisition of one-third of MTGOLD MINERAÇÃO, which owns the Paranaita gold project in Brazil. The payment is £1m in shares plus £250,000 in cash. Jangada Mines will become the operator of the project. The share price dipped 9.09% to 0.5p.

FTSE 100 turns positive as defensive stocks rally

UK Investor Magazine
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FTSE 100 turns positive as defensive stocks rally

The FTSE 100 recovered early losses on Wednesday as traders shrugged off a hotter-than-expected UK CPI reading and a US tech-driven sell-off overnight.

Defensive ‘safer’ names such as Unilever, United Utilities, Intertek, and British American Tobacco were in favour and helped the FTSE 100 edge past 9,200 in mid-morning trade.

The interest in defensive non-cyclical UK stocks followed a sell-off in US stocks overnight as investors booked profits in US tech ahead of key events, including Fed minutes and Jackson Hole.

“Markets tracked overnight declines on Wall Street, where technology shares led losses as investors turned more cautious ahead of the release of the FOMC minutes and the Jackson Hole Symposium in the US,” said Frank Walbaum, Market Analyst at Naga.

“The selloff reflected concerns about overextended valuations, as investors moved to profit-taking after a period of strong and rapid gains.”

UK markets started the session in the red after UK CPI for July came in at 3.8% – an increase on June’s 3.6% figure.

However, the concern around higher CPI inflation was short-lived, with much of the increase due to flight tickets, and core inflation was little changed on the month before.

“Despite the sell-off in the US overnight, emanating from the technology sector, UK stocks were pretty steady in early trading on Wednesday,” explained AJ Bell head of financial analysis, Danni Hewson.

“The index was not helped by the hotter than expected UK inflation report – which gave sterling a modest lift. A stronger pound hits the relative value of the FTSE 100’s dominant overseas earnings.

“The implications for interest rates of the higher than anticipated CPI reading also saw housebuilders foundations quiver given, in turn, what this might mean for mortgage affordability and availability.”

Persimmon, Taylor Wimpey and Barratts were all down more than 1%.

Anglo American was the FTSE 100’s top faller with losses of 2%.

Temple Bar delivers benchmark-beating NAV growth of 14.1% as Johnson Matthey and FTSE 100 banks drive returns

UK Investor Magazine
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Temple Bar delivers benchmark-beating NAV growth of 14.1% as Johnson Matthey and FTSE 100 banks drive returns

The Temple Bar Investment Trust has delivered yet another strong period of performance in the first half of 2025, as the trust’s NAV rose 14.1%, far outstripping benchmark returns.

Temple Bar’s commitment to value investing and unwavering dedication to selecting shares that are fundamentally undervalued meant the trust thrived during market volatility in the wake of Donald Trump’s tariff announcements.

Such has been the strength of the portfolio so far in 2025 that the Temple Bar Investment Trust share price has returned 25% year-to-date. Shares have consistently broken to record highs, and the trust’s market cap is now knocking on the door of £1bn.

Temple Bar is also one of the few UK equity trusts trading at a premium to NAV, paying testament to the manager’s stock selection prowess.

Managers were given a helping hand by the FTSE 100’s outperformance during the period as investors sought out undervalued defensive stocks, but you can’t take anything away from Temple Bar shareholder returns that are more than double the FTSE 100’s returns year-to-date.

Temple Bar’s NAV grew 14.1% in the first half of 2025 compared to 9.1% for the FTSE All-share benchmark.

“The start of 2025 was tumultuous, but stock markets were able to finish the first half of the year in positive territory. Despite the earlier fears that tariff induced uncertainty would undermine confidence and result in a deterioration in the global economy, so far there is little evidence that this is the case,” said Ian Lance and Nick Purves, co-managers of Temple Bar Investment Trust.

“In the UK the signs are more mixed, with activity cooling somewhat following a stronger first three months. This is likely due to the tax rises announced in last year’s budget starting to take effect.”

Temple Bar’s managers continued to explain the key drivers of performance over the six-month period, and where they capitalised on opportunities presented by volatility during the period.

“The Trust’s portfolio performed well in the six months, delivering strong absolute and relative returns. Performance was helped by large rises in Johnson Matthey, the banks Barclays, NatWest, Standard Chartered and ABN Amro, insurance companies Aviva and NN Group, electrical retailer Currys, asset manager Aberdeen and BT Group,” they said.

“The Trust established new positions in Smith & Nephew, Carrefour, Hana Financial, Woori and added to its position in Valterra Platinum.

“In an uncertain world, our approach is and has always been to think long term and invest in what we believe to be fundamentally sound businesses that are valued at a significant discount to their true economic worth. We feel confident that through the disciplined application of a proven value investing strategy, the Trust can continue to create long-term value for its shareholders.”

Investors will also be delighted by Temple Bar’s decision to hike the dividend by 35% to 6.75p, giving the trust a prospective dividend yield of 4.4%.

“The Trust’s strong revenue performance saw an increase in revenue earnings per share of c.12.3% compared to the first half of the previous financial year. This has enabled the Board to declare an increased second interim dividend of 3.75 pence per share,” said Richard Wyatt, Chairman of Temple Bar Investment Trust.

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