Sharewatch: UBC Rises On Strong Results
Digital radio group UBC Media was the sector’s big mover on Monday, up 24.53% after revealing it had broken into operating profit, although its losses at a pre-tax level remained over £2 million. The group also announced that airtime sales have shown recent signs of recovery (see UBC Moves Into Profit In 2003, Airtime Outlook Mixed).
Elsewhere, investors continued to ponder the fate of the proposed Carlton and Granada merger (see Competition Commission Delays Verdict On ITV Merger). The stocks were seen up 0.73% and down 0.29% respectively.
Broader market sentiment was dented on Monday by profit taking on Wall Street, after a flurry of profit warnings and poor corporate news undermined investors’ confidence in an economic upturn.
Some analysts had claimed the market had turned a corner last week, after the FTSE 100 returned to levels not seen since 11 September. However, many are already writing off this “recovery” as just another dead cat bounce. Strategists at Merrill Lynch have claimed that earnings remain too scarce to forecast a bull market and suggest a summer rally in economic sensitivity will signal the end of the current upturn.
The closing prices of media company shares on Monday were:
