The forward look from The Share Centre

Sheridan Admans, investment research manager at The Share Centre, gives his thoughts on what to expect from companies announcing results w/c 13 February 2012.

Monday

Monitise interim results

Investors will be looking for an update on how the recent multi-million dollar revenue strategic partnership agreements and implementation of technology in retail operations are progressing. 

We expect investors will also be keen to see what progress has been made with the Visa Inc partnership, to potentially roll out Monitise services to its 1.9bn card holders.

We currently list Monitise as a BUY

Tuesday

Intercontinental Hotels Group preliminary results

Investors will be keen for any update on the proposed roll out of a new upscale hotel chain in China. The group already has around 160 hotels in the region, including the Crowne Plaza brand, where revenue growth has been robust.

Results may be a little better than expected, as after gloom was cast over the U.S economy last year it has surprised the markets in the last few months with positive jobs and growth data. However, economic headwinds to operations in 2012 are likely to remain challenging 

We do believe there is currently some potential for the share price to increase, however this is not sufficient to warrant a ‘buy’ recommendation at this time given the risk of a general global market slow down.

We currently list Intercontinental Hotels Group as a HOLD

Thursday

Kingfisher trading statement

Investors will be looking to see profit margin growth from revenue growth rather than more squeezing of costs. Investors will also be looking for any update on the expansion of its China operation. 

We continue to have reservations over consumer buying power in 2012, as European Governments including the UK struggle to find ways to stimulate growth and believe this will continue to act as a headwind for Kingfisher.

We currently list Kingfisher as a HOLD

Companies also reporting this week include: BAE Systems preliminary results – HOLD, Reed Elsevier preliminary results - HOLD

Friday

Companies reporting today include Anglo American preliminary results – HOLD, Severn Trent preliminary results - HOLD

Economic Diary

Economic announcements for the w/c 13 February 2012

14 February, Consumer Price Indices, January 2012 – ONS

This morning’s inflation data will be especially significant, because it will be the first time in three years that annual inflation figures have not been distorted by a change in VAT. 2011 saw VAT rise to 20.0%; 2010 saw it rise to 17.5%, and 2009 saw it fall to 15%. A sharp drop in the headline figure, which had CPI at 4.2% in January, is anticipated. Recent data from the BRC indicated that non-food shop price inflation was zero in January.

14 February, Housing market survey, January – RICS

Last month, the headline index from RICS tracking prices over the previous month improved slightly, but at minus 16 still pointed to falling prices. Meanwhile, the index tracking new enquiries fell from plus 7 to plus 2, while the new instructions index rose from plus 10 to plus 12. With growth in instructions, which relates to supply, apparently outstripping growth in enquiries, which relates demand, the indications are that house prices will continue to fall for the time being. But will the survey out today tell a different story?

15 February, Inflation report – Bank of England

The Bank of England inflation report is closely watched, but has not proven to be a good forecaster in recent years, with GDP forecasts proving too high, and inflation predictions too low. Of late, a decidedly downbeat tone has been emitted by various members of the MPC. Will this latest report reflect that?

Other economic announcements include:

14 February

• House Price Index, December 2011 – ONS
• Consumer Price Indices, January 2012 – ONS
• Housing market survey, January – RICS

15 February 

• FOMC Minutes, Meeting of January 24 – 25 – Fed
• Inflation report – Bank of England
• Flash Estimate EU and euro area GDP, Q4 2011,  – Eurostat 
• Labour Market Statistics, February 2012 – Eurostat

16 February

• US Producer Price Index, January 2012 – BLS

17 February

• US Consumer Price Index, January 2012 – BLS
• US Real Earnings, January 2012 – BLS
• Mortgages: Actions for Possession, October  to December 2011 – ONS
• Retail Sales, January 2012 – ONS

THIS DATA IS PROVIDED BY THE SHARE CENTRE. THIS IS NOT INTENDED TO CONSTITUTE AN OFFER OR AGREEMENT TO BUY OR SELL INVESTMENTS.

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2012-02-10 11:58:48 © Moneyextra.com