Dowley’s share price rose after an American investor revealed his stake in the engineering group.
Baltimore-based T. Rowe Price owns 5.32% of the GKN spinoff, according to the latest regulatory filings. The US investment firm also holds stakes in the so-called “Magnificent Seven” tech stocks, including Wall Street’s most valuable companies, Microsoft, Amazon and Tesla.
The company also traded at Next (up 0.8% or 70p to 8470p), Shell (up 1.3% or 33p to 2497p) and Unilever (up 1.2% or 48.5p to 4029.5p).
In even more good news, Mr. Dowley was handed a vote of confidence by the city.
Barclays said FTSE 250 companies are “ticking the right boxes” for the most important criteria investors expect this year, including strong earnings momentum.
Analysts at Jefferies said Dawley’s stock, which has been volatile over the past year, was hurt by factors including a strike at U.S. automakers. Dowlais manufactures drivetrain components, the actual parts that connect a car’s engine to its wheels. The company believes investors will push the stock price higher because it is one of the cheapest stocks in the industry. The share price rose 3% (2.62p) to 90.52p.
Dowlais emerged as an independent car company in London in April last year after being spun off from GKN by Melrose (flat at 610.8p), a blue-chip company focused on aerospace. Melrose acquired GKN in 2018 for £8.1bn.
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The FTSE 100 index rose 1.5% (114.18 points) to 7,711.71 and the FTSE 250 index rose 0.5% (92.31 points) to 19,191.93.
Top indexes posted one of their best trading hours so far this year, as hopes of a rate cut in China boosted Asia-focused stocks.
Insurer Prudential rose 3.3%, or 26.8p, to 834.4p, while financial firm Standard Chartered rose 2.4%, or 13.8p, to 594.6p.
Soaring copper prices pushed mining giants higher, with Rio Tinto up 3.5% (187p) to 5,515p, Antofagasta up 5.7% (95.5p) to 1,785p, and Anglo American 2% ( 35.2p) rose to 1802.2p. However, another mining company, Petra Diamonds, fell into the red due to poor sales. The share price fell 6.4%, or 2.8p, to 41p.
The Works has some leeway after the Kelso Group, which invests in UK small and mid-cap stocks such as THG (down 2.1% or 1.42p to 67.28p) and Angling Direct (flat at 39p), bought the shares. Love was shown. At an arts and crafts company on Valentine’s Day.
The company bought 345,000 shares at around 24.03 pence each, bringing its total holding to almost 6%.
Two Kelso directors have also been appointed to The Works’ board of directors.
The Works share price rose 4.5%, or 1.1p, to 25.65p, while Kelso Group fell 1.6%, or 0.05p, to 3p. Podcast publisher Audioboom has reached a milestone. His podcast was downloaded by over 38.6 million listeners worldwide in January, breaking a monthly record. However, the share price was flat at 237.5p.
Centrica extended its gains a day after British Gas reported profits of £751m last year, up from £72m in 2022, as it recouped money lost during the energy crisis. The share price rose 2.1 per cent (2.9 pence) to 139.1 pence.
It was another painful session for the Crows Brothers. The merchant bank cut its dividend to 22.5% on Thursday after warning of “significant uncertainty” over a Financial Conduct Authority investigation into potential mis-selling of car loans between 2007 and 2021. It plummeted. The stock price plunged further, dropping 3%. or 9.2p to 299.2p.
Animal genetics company Genus warned on Thursday that turmoil in China’s pig and dairy markets would hit its profits, wiping out nearly £230m of its value. However, yesterday the share price rose 0.3% (6p) to 1,786p.
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