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Week Ahead: Retailers in run-up to Christmas

Last updated: 16:29 07 Dec 2014 AEDT, First published: 17:29 07 Dec 2014 AEDT

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Online fashion retailer ASOS, often the most traded AIM stock of the month, releases its first quarter results on Tuesday.

Shares in the firm hit their lowest level in two years in October at 1,785p following an earlier profit warning. At that price the clothing supplier is worth less than £2bn, though at its peak it was valued at as much as £6bn.

Investors will be hoping that its first quarter report hasn’t been dampened by the mild autumn weather.

Any data on how its Christmas campaign is shaping up, after the scurry for bargains on Cyber Monday last week, will be welcomed.
Updates on its overseas operations are expected to be mixed.

Sports Direct (LON:SPD) shares have been on a run since early November, when the retailer announced a move into cut-price gyms.

The FTSE 100 firm put out plans to launch a chain of budget outlets, where monthly memberships start from a fiver.

Still, the firm signalled a rather patchy start to the second quarter, so the market will be keen to see if this trend continued to the end of the period.

Naturally, comments on current trading, as the company enters the most critical sales period of the year, will also attract attention.

Sheridan Admans, investment research manager at The Share Centre, said the market will be looking to see if the company has achieved its underlying earnings (EBITDA) of £360mln for the first six months.

Brokers, including Citi and Liberum Capital, recently reiterated their positive stance on the retailer - both set a share price target of 800p.

Shares are currently around the 700p market and the business, still controlled by Mike Ashley, will put out an earnings release on Thursday.

Elsewhere, Whitbread (LON:WTB) releases its third quarter results on Thursday.

Shares have done well since upbeat interim results in October and are trading at 4674p, putting a £8.4bn price tag on the firm.

Hotel occupancy at Premier Inns hit an all-time high in Q2 and Costa Coffee sales continued to power ahead.

Like all of the retailers, an update on current trading and expectations for the festive period will attract attention.

Significant announcements expected

Monday

Companies: Interims: Great Eastern Energy Corporation (LON:GEEC)

Finals: Jelf Group (LON:JLF), Standard Life European Private Equity Trust (LON:SEP)

Trading statements: GVC Holdings (LON:GVC)

Economic data: UK retail sales, Eurozone investor confidence

Tuesday

Companies: Interims: Iomart Group (LON:IOM), IMImobile (LON:IMO), Ensor Holdings (LON:ESR), Carpetright (LON:CRP), ASOS (LON:ASC)

Finals: Treatt (LON:TET), Victrex (LON:VCT), Zytronic (LON:ZYT), Pressure Technologies (LON:PRES), Easyhotel (LON:EZH), RWS Holdings (LON:RWS), OMG plc, (LON:OMG)

Economic data: UK manufacturing, China unemployment

Wednesday

Companies: Interims: Stagecoach Group (LON:SGC), Micro Focus International (LON:MCRO), Ashtead Group (LON:AHT)

Finals: Alternative Networks (LON:AN.), CareTech Holdings (LON:CTH)

Trading statements: Carillion (LON:CLLN), PZ Cussons (LON:PZC), Brown (LON:BWNG)

Economic data: UK RICS House price balance, UK trade balance

Thursday

Companies: Interims: Sports Direct International (LON:SPD), SuperGroup (LON:SGP), Science in Sport (LON:SIS), Polar Capital Holdings (LON:POLR), Dixons Retails (LON:DXNS), Darty (LON:DRTY), Abzenza (LON:ABZA) Whitbread (LON:WTB)

Trading statements: John Wood Group (LON:WG.)

Economic data: US November retail sales

Friday

Companies: Trading statement: Bellway (LON:BWYA)

Economic data: EU employment change

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