Persimmon builds momentum as market recovery hopes rise
Adam Vettese, market analyst for eToro, says: “Persimmon’s latest update is a reassuring step forward for the UK housebuilding sector. The 12% rise in completions and delivery towards the top end of guidance show that underlying demand is recovering as mortgage rates edge down and buyers regain confidence. It is particularly encouraging that the company is growing volumes ahead of expectations in what remains a challenging market.
“However, this is not an ‘all clear’ signal just yet. Margins are still under pressure from legacy cost inflation and incentives, and the recovery remains heavily dependent on the path of interest rates and broader economic sentiment. Planning bottlenecks and regulatory constraints also continue to cap how fast builders can scale.
“After a strong share price run to new 52‑week highs, much of the good news could well be already reflected in the valuation, so investors may now demand clearer evidence of sustained margin rebuild and cash generation. Overall, today’s statement supports a cautiously optimistic view. Persimmon looks well positioned for an upturn from these levels, provided the market conditions play ball, although the rate of ascent will likely be slower than it was into the back end of last year.”
Despite a stretched consumer Gym Group is going from strength to strength
Mark Crouch, market analyst for eToro says: “The Gym Group has flexed solidly rather than spectacularly in 2025, delivering an 8% lift in revenue and steady like-for-like growth of 3%. With memberships edging higher to 945,000, it’s tantalisingly close to the symbolic one-million mark that continues to loom just out of reach. With 16 new sites at the top end of guidance taking the estate to 260 gyms, expansion is on track, while lower-than-expected net debt offered more reassurance that growth is being sensibly funded.
“For investors, the upgraded value-led gym format is pulling its weight, and these numbers suggest operationally, the strategy is working. Cost control has held firm even as households feel the cost-of-living squeeze. With January’s ritual rush of resolutions, resets and “new year, new me,” The Gym Group enters its busiest trading window with the wind at its back. This is a numbers game, members, sites, scale, and while the pace isn’t breakneck, the company is clearly building muscle in the right places.”
Whitbread results force short-sellers to check out
“Whitbread continues to claw its way higher from the December nadir, and today’s numbers suggest there could be more upside to come. Short-sellers piled into the company in recent months, making it one of the most shorted on the FTSE, but some have been chased out of their position following this morning’s early bounce. This could provide fuel for more gains, and with the company still looking cheap on a long-term view there is still plenty of room for more good news to be priced in.”
JPMorgan gets earnings season off to a good start
Chris Beauchamp, Chief Market Analyst at IG: “This is another great set of numbers from JPMorgan, notable for strong client inflows and payments revenues, and the stock is responding accordingly in pre-market trading. Trump’s new limit on card payments will be a key question for the earnings call, but investors worried about overstretched equities can at least ease back on concerns about earnings.”
Comment from Blackrock as Alphabet joins the $4trn club
“Today’s US market is historically concentrated, but in our view the earnings outlook is not. There are a multitude of opportunities in the AI-buildout theme beyond the hyperscalers. With the rest of the S&P 500 expected to catch up to the Magnificent 7 in EPS growth throughout 2026, it’s increasingly important to risk-manage mega cap and AI exposure while also capturing differentiated upside opportunities.”
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