Archived article
Please note that tax, investment, pension and ISA rules can change and the information and any views contained in this article may now be inaccurate.
“The markets are in rebound mode after yesterday’s heavy selling", says AJ Bell Investment Director Russ Mould.
"The lack of any further bad news on global trade sees resources stocks rise alongside shares with Asian exposure.
"The FTSE 100 was up 0.6% as sterling remains volatile as rumours swirl of Theresa May’s imminent departure from Number 10.”
Mothercare
“Better late than never. Mothercare’s results may have been delayed by a day but they ultimately still delivered some good news.
“The company is not out of the woods yet but may be starting to spot a path through the undergrowth after it reduced its cost base beyond initial guidance.
“Closing stores, selling and leasing back its head office, offloading the Early Learning Centre; all these actions might seem elementary responses to what the company described in its own words as ‘acute financial distress’ but they still deserve credit for getting them done.
“Achieving debt free status in 2019 will be a considerable milestone in taking Mothercare out of the naughty corner.
“The next baby steps involve getting its online business in the best possible shape and launching new customer credit options as well as exploiting its global brand.
“People’s willingness to spend money on their children means this remains an attractive market, albeit a competitive one.
“In essence, the company needs to get back to the A, B, C’s of successful retailing. Balancing price and volume successfully, keeping costs under control and giving people what they want, when and where they want it.”
These articles are for information purposes only and are not a personal recommendation or advice.
Related content
- Tue, 23/04/2024 - 11:50