FTSE 100 movers: Bunzl falls on update; LSEG lifted by upgrade

(Sharecast News) - London's FTSE 100 was down 0.5% at 8,218.94 in afternoon trade on Tuesday. Bunzl was under the cosh as it said volume growth in the third quarter was expected to continue in the fourth, although deflation was likely to be more persistent than previously anticipated. The company said this was expected to have a "slight" impact on group adjusted operating profit in 2024, driven by Continental Europe.

BT was also in the red. On Monday, the British government approved Bharti Global's acquisition of a 24.5% stake in the telecoms firm from France's Altice.

Shell gushed lower as oil prices fell.

Marks & Spencer was under the cosh despite an initiation at 'buy' at Kepler Cheuvreux.

It said the price has rallied spectacularly over the past two years. However, the valuation multiples have risen little relative to its peers.

"Benefiting from high-quality management, we believe that M&S should continue to offer positive momentum in its two businesses, enabling the steady growth that sets it apart in the UK retail sector," it said.

LSEG was among the risers as UBS upgraded its stance on the shares to 'buy' from 'neutral' and lifted the price target 17% to 13,500p.

"Over the next three years, we expect LSEG to accelerate revenue growth, generate circa 100 basis points of annual EBITDA margin expansion and grow EPS by 15% per annum (consensus expects similar)," UBS said.

"Despite this, LSEG continues to be valued like an exchange, trading at a significant discount to the US and EU Info Services names, despite stronger revenue and EBITDA outlook."

FTSE 100 - Risers

International Consolidated Airlines Group SA (CDI) (IAG) 299.60p 1.08% Compass Group (CPG) 2,682.00p 1.02% London Stock Exchange Group (LSEG) 11,625.00p 0.96% Halma (HLMA) 2,793.00p 0.79% Sage Group (SGE) 1,309.00p 0.77% Pershing Square Holdings Ltd NPV (PSH) 3,914.00p 0.72% GSK (GSK) 1,327.00p 0.57% Rentokil Initial (RTO) 408.20p 0.54% Haleon (HLN) 382.70p 0.47% Persimmon (PSN) 1,241.00p 0.45%

FTSE 100 - Fallers

Bunzl (BNZL) 3,326.00p -6.52% Marks & Spencer Group (MKS) 388.30p -2.34% Diageo (DGE) 2,543.00p -2.19% B&M European Value Retail S.A. (DI) (BME) 355.70p -2.09% BT Group (BT.A) 146.85p -1.87% WPP (WPP) 863.40p -1.86% Glencore (GLEN) 361.05p -1.82% Shell (SHEL) 2,414.00p -1.81% Coca-Cola HBC AG (CDI) (CCH) 2,722.00p -1.80% Antofagasta (ANTO) 1,646.00p -1.64%