Breaking News
Get 40% Off 0
👀 Reveal Warren Buffett's stock picks that are beating the S&P 500 by +174.3% Get 40% Off

Rolls Royce shares dip on Airbus A350 deal delay, FTSE 100 falls

Published Nov 14, 2023 06:52
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.
 
RR
+2.90%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
UK100
-0.60%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
INF
0.00%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GLEN
+0.04%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
ENT
+0.50%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
EADSY
+3.52%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

LONDON - Rolls Royce (LON:RR) experienced a near 2% decline in share price today after Emirates President Tim Clark called for engine improvements, leading to a postponement in an Airbus A350 aircraft deal. This request impacted the aerospace and defense sector, contributing to a 0.7% decrease, and also weighed on the FTSE 100 index, which saw a slight drop of 0.1%.

In contrast to the downturn in aerospace, Glencore (OTC:GLNCY)'s shares climbed by 3.2% following its strategic acquisition of a majority stake in Teck Resources (NYSE:TECK)' coal business for $6.93 billion. This move by Glencore provided some balance to the FTSE losses.

The mid-cap index showed resilience with a 0.4% uptick amidst the market fluctuations. Additionally, the media sector witnessed nearly a 1% increase, buoyed significantly by Informa, whose shares soared by 6%. The surge came after Informa revised their full-year revenue and profit estimates upward, signaling stronger performance than previously anticipated.

However, not all sectors fared well; travel and leisure experienced a downturn. Entain Plc's shares fell by 2.3% after an analysts downgrade from Jefferies shifted its rating from "buy" to "hold". This contributed to a broader 0.5% decline within the travel and leisure index.

Adding to economic concerns, British wage growth showed signs of deceleration in Q3. According to Webull UK CEO Nick Saunders, this slowdown could intensify the inflation challenges already under close scrutiny by the Bank of England. The central bank remains vigilant as it navigates through the complexities of managing inflationary pressures while fostering economic stability.

InvestingPro Insights

Despite the recent turbulence, Rolls Royce remains a prominent player in the Aerospace & Defense industry, as highlighted by InvestingPro. The company's revenue growth has been accelerating, with a surge of 32.46% over the last twelve months as of Q2 2023. It also operates with a moderate level of debt, which is a positive signal for potential investors.

InvestingPro data shows that Rolls Royce has a market capitalization of 24366.6M USD and a P/E ratio of 13.14, which is relatively lower than the industry average, indicating a potentially undervalued stock. Moreover, the company's stock price has seen a large uptick over the last six months, with a total return of 61.97%, and is currently trading near its 52-week high.

For those considering an investment in Rolls Royce, it's worth noting two key InvestingPro Tips: the company's net income is expected to grow this year, and it has demonstrated a high return over the last year. These metrics, along with 10 additional tips, are available in the InvestingPro product for those who want to delve deeper into the company's financial health and future prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Rolls Royce shares dip on Airbus A350 deal delay, FTSE 100 falls
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email