The FTSE Finish Line: March 10 - 2025

Patrick Munnelly, Partner: Market Strategy, Tickmill Group

Following a strong beginning, U.K. stocks dipped on Monday morning, particularly within the banking sector, which saw significant declines. Worries regarding global economic growth prospects and ambiguity surrounding U.S. trade policy are dampening investor sentiment. The FTSE 100 index, which rose to 8,710.35 earlier in the day, fell by circa 70 points as of writing. A survey revealed that the job market in Britain slowed down in February, characterized by reduced hiring rates and the smallest increase in starting salaries in four years, which reflects companies' worries about rising employment costs and a weakening economy.

Single Stock Stories & Broker Updates:

  • Shares of BT Group Plc fell 3% to 157.35p, making it the second-biggest loser in the FTSE 100. Barclays downgraded the stock to "underweight" and cut the price target from 190p to 150p, citing market share losses due to increased competition in the UK broadband market. Analysts expressed concerns about Openreach's customer losses in 2024 amid tough competition. Despite reporting record connections to its fiber network in Q3, BT faced challenges from its business unit and lower handset sales. The average rating remains "buy" with a median price target of 185p. The stock is up approximately 10% this year.

  • British healthcare REIT Assura up ~14% to 46.5p, its highest since January 16, 2024. Co likely to consider a £1.61 billion offer from KKR and Stonepeak Partners, after rejecting four previous offers from another KKR-led consortium. The cash offer of 49.4p per share represents a 31.9% premium over the February 13 closing price and a 21.3% premium to Friday's close. AGRP also rejected an offer from Primary Health Properties, whose shares are up 3%. AGRP is up ~6% YTD ($1 = 0.7745 pounds).

  • Shares in Clarkson fell 18.37% to 3,751 pence, marking the largest intraday loss since May 2018 and the stock's lowest point since Nov 1, 2024. The company cited uncertainty around demand trends and geopolitical factors that could impact performance, with the stock down 1.9% over the past year.

  • Shares of Watches of Switzerland Group rise 7.7% to 486p; stock is a top gainer on the FTSE midcap index (+0.17%). The company announces a £25 million share buyback and a £150 million refinancing to increase liquidity by £50 million. Despite this, the stock is down 19.4% year-to-date as of Friday's close.

  • Shares of Alliance Pharma rise 2.4% to 64p as the healthcare group accepts a revised cash proposal from DBAY Advisors, valuing it at £362 million ($467.5 million). The new offer of 64.75p per share is a 3.6% increase from the previous bid of 62.5p and represents a 46% premium to the stock's closing price on January 9. The companies initially agreed to the 62.5p proposal before adjourning the meeting for shareholders to consider the deal. The stock has jumped ~45% since the announcement, up ~40% YTD.

Technical & Trade View

FTSE Bias: Bullish Above Bearish below 8950

  • Primary support 8700

  • Below 8700 opens 8600

  • Primary objective 9050

  • Daily VWAP Bearish

  • Weekly VWAP Bearish