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A Brief Look At The Week Ahead | |
Imperial Tobacco, which has half-year results on Tuesday, has made two offers to the Franco-Spanish group Altadis, and twice been rebuffed. Investors will want some reassurance that its CEO, Gareth Davis, will not be drawn into overpaying. Altadis raised its forecasts last week in a pointed effort to show it is worth more than Imperial has offered so far. Results are expected to be uninspiring. In the same sector, on Thursday, British American Tobacco, where CEO, Paul Adams, has poured cold water on speculation he could jump into the scrum for Altadis, saying last week that assets in the sector were too expensive, will produce interim results which are expected to be only slightly better than the equivalent period last year. Also on Thursday, Unilever unveils quarterly results. The maker of Ben & Jerry's ice-cream and Dove soap is in a tricky spot. It is trailing Procter & Gamble, the world's biggest household products group with brands including Pampers nappies and Pringles crisps, and it is unable to match the growth of smaller rival Reckitt Benckiser. The company unveiled a strategy last month to revitalise the group, and will be pressed on its progress. Tomkins, the maker of auto parts and plumbing products, will lay bare the effects of a double whammy when it announces interim results on Thursday. Cuts in US auto production and the slumping American housing market are set to dent its earnings. The group's stock has taken a battering, and Barclays expects increased pressure on Tomkins to do deals to kickstart growth. Heavy US exposure of Smith & Nephew should have the opposite effect. The artificial hip maker is expected to report sales growth of up to 14% over the same period last year, as America's ageing population and widening waistlines increase demand for its products. Its CEO, Sir Christopher O'Donnell, will also be expected to go into detail about the company's earnings improvement plan, which it unveiled earlier this year, when he faces the City on Thursday. Amongst others in the spotlight this week will be 888 on Monday; Phytopharm on Tuesday; BSkyB and CSR on Wednesday; ICI on Thursday and BG Group on Friday. Good hunting! Greystone Thanks, as always to Digger and Kyoto for their invaluable input to the Traders Thread (Greystone is Alan English, City Editor at MoneyAM.) |