London, UK: Steep falls for logistics and transport groups, Stobart and Wincanton, dragged down the industrial transport sector on today (Wednesday).
Stobart was the biggest faller on the FTSE 250 despite reporting a solid set of half year figures as it repositioned its strategy in the face of a prolonged weak economic background. Shares were 5.4% lower at 119.1p at 15:29.
Investec cut its target on the stock from 176p to 165p. The broker highlighted the board’s “broadly unchanged” outlook, saying that the word ‘broadly’ leaves some ambiguity. As such, Investec felt it prudent to lower its profit forecasts for the current year.
AIM-listed Wincanton gave investors the jitters after saying its container business had been hit unexpectedly hard by a drop in imports. Shares dropped 8.53% to 67p.
