Two FTSE 100 Stocks To Look At – LSE and EVR

London Stock Exchange Group Plc

London Stock Exchange Group Plc (LSE) is a diversified stock exchange company based in London, the United Kingdom. It was created in October of 2007 after London Stock exchange merged with the Milan Stock Exchange, Borsa Italiana. The company runs with an open access model, which means that it runs a free and fair financial market that is open for listing companies from any industry or sector. The company engages in the provision of services to commercial and other issuers, investors and shareholders and trading as well as investment management firms in the supply chain for equities, fixed income products, derivatives and other financial products. The company has six significant business segments, which are – Capital Markets, Technology, Data and Information, settlement and custody, Clearing and CCP services and financial education. Through the Capital Markets segment, the company operates the Issuer services for publicly listed companies and also includes Borsa Italiana for raising for the luxury brands. The capital markets segment also includes Turquoise, which is a Pan European equities market and MTS, which is an electronic fixed income trading market. The CCP services segment includes the LCH group which is a leading global clearing company serving major exchanges around the world and CC&G Post-trade services which engage in the provision of Counterparty services to multiple trading venues for a range of asset classes.

 

LSE Latest News

On 31st July 2019, the company announced that they had made an agreement for the purchase of Refinitiv, which is financial technology, data and research company, for an all-share consideration worth £22 billion. The agreement would allow the London Stock Exchange Group to gain ownership of Refinitiv, whose Eikon based systems on trading floors is used across various capital markets and trading companies competing against those of Bloomberg based terminals. Refinitiv currently has a consortium-based ownership led by the Blackstone Group which also includes Thomson Reuters. As per the Chief Executive Officer (CEO) of the Group Mr David Schwimmer, the purpose of the deal is to solidify and expand the company’s business into international market, especially the United States of America, as well as Asia and the emerging markets.

On 18th October 2019, the company made a press release regarding directorate change. The company made an announcement that the Chief Financial Officer of the Group, Mr David Warren, had informed the group of his intention to retire from the company as well as to step down from his position as the member of the board by the end of the next year, that is 2020. Mr Warren has been the Chief Financial Officer for more than seven years with the group playing a significant growth in the diversification and global expansion of the company. The company reported that Mr Warren will continue in both of his current positions till the transaction of Refinitiv gets completed and will also ensure a smooth transition to whoever succeeds him in the positions. The company announced that the board’s nomination committee would conduct a worldwide search for the new Chief Financial Officer.

LSE Trading Update

On 18th October 2019, the company announced a trading update for the third quarter ended 30th September 2019. The company announced that the total income for the third quarter was up by 12 per cent year on year at £587 million as compared to £522 million in Q3 2018. This was also an increase of 9 per cent year on year for nine months ended 30th September 2019 at £1.727 billion as compared to the total income for nine months ended 30th September 2018 at £1.582 billion. This was driven by the total income in the post-trade service segment, which was up by 19 per cent year on year from £166 million in Q3 2018 to £197 million in Q3 2019. The company also announced that the purchase of Refinitiv has stayed on the path to be completed by H2 2020.

LSE Share Price Performance

On 21st October 2019, at 12:53 P.M., while writing, London Stock Exchange Group Plc’s stock’s current market price was at GBX 7108.00 per share, an increase of 0.08 per cent or GBX 6.00 per share as compared to the previous day’s reported closing price at GBX 7102.00 per share. At the current market price, the company’s shares were trading 85.00 per cent above the 52-week low price of GBX 3842.00 per share, which was set on December 06, 2018. This was also 10.28 per cent below the 52-week high price of GBX 7922.00 per share, which the company’s shares set on September 11, 2018. The company’s market capitalisation (M-Cap) was currently reported at £24.838 billion.

By the time of writing, 161,110 of company’s stocks had been traded for the day. The average volume of trade, per day, in the last one year was at 718,560 stocks. The company’s stock has gained 61.88 per cent in the last one year, from the price of 4355.00.

The Beta of the stock has been reported to be at 0.7248, from which it can be inferred that the stock’s price movement, is less volatile as compared to the movement of the comparative benchmark index.

Evraz Plc

Evraz Plc (EVR) is a Moscow, Russia based mining company, that is engaged in the exploration, as well as manufacturing of Steel, Iron ore, Coal and various products and applications of these metals and minerals. The company’s most significant business segment is the mining and production of steel- based products. The company’s steel assets include Evraz ZSMK, which is the eastern most asset in Russia which has been dedicated to long products such as low alloy steel, rebar and wire rods, and shaped steel. This asset led to a production of 6 million tonnes of steel as well as 3.4 million tonnes of marketable concrete in the year 2018, Evraz NTMK, which mainly engages in the development of railway transport products and was responsible for the production of 4.1 million tonnes of steel and 4 million tonnes of steel products in the year 2018 and Evraz KGOK, which is one of the five largest  ore mining spaces in Russia, with production of 3.5 million tonnes of Sinter as well as 6.5 million tonnes of pellets reported in the year 2018. This space has a capacity of 55 million tonnes of Iron ore per year. The company’s Coal division engages in the provision of resource materials for the company’s steel assets, and also allows the supply of coking coal to significant local coke and steel producers and sells its products to global customers. The North American steel segment primarily takes care of the bigger and premium markets in the Western Parts of the United States of America and Canada, supplying high-quality products which include premium infrastructure grade steel, rails, large-diameter pipes and oil country tubular goods.

EVR Latest News

On 18th October 2019, through a press release, the company announced the acquisition of pilot plant and technology for tailings processing. As per the press release, JCS EVRAZ Vanady Tula, a subsidiary of Evraz Plc, acquired the pilot plant and technology for EVRAZ Kachkanarsky Ore Mining and Processing Plant tailing processing, which is another subsidiary of the group from LLC Rock Capital Partners for Russian Ruble 249.132 million which roughly translates to US $3.8 million. The acquisition consideration has been checked by an independent valuation research report prepared by LLC American Appraisal. As per the announcement, this will allow the company to enjoy a positive economic effect, as presently more than 1.5 billion of its tailings was being dumped and going to waste amounting around 80 per cent of the total produce.

EVR Share Price Performance

On 21st October 2019, at 01:01 P.M., while writing, Evraz Plc’s stock’s current market price was at GBX 380.90 per share, an increase of 1.52 per cent or GBX 5.70 per share as compared to the previous day’s reported closing price at GBX 375.20 per share. The company’s stock hit a new 52 week low during day’s trading session when it reached GBX 373.80 per share. The current stock price was also 46.36 per cent below the 52-week high price of GBX 710.20 per share, which the company’s shares set on June 17, 2019. The company’s market capitalisation (M-Cap) was currently reported at £5.447 billion.

By the time of writing, 1.02 million of company’s stocks had been traded for the day. The average volume of trade, per day, in the last one year, was at 2.72 million stocks. The company’s stock has lost 27.25 per cent in the last one year, from the price of 514.60.

The Beta of the stock has been reported to be at 2.1683, from which it can be inferred that the stock’s price movement, is twice as more volatile as compared to the movement of the comparative benchmark index.