Sector movers: BATS lights up tobacco stocks

16th Aug 2011 15:47

Gains for British American Tobacco (BATS) boosted the tobacco sector on Tuesday.Shares in the Lucky Strike cigarettes maker rose 1.87% to 2,781p at 15.49, helped by a kind word from Japanese broker Nomura. Nomura raised its full-year estimates for BATs as a result of a strong first half performance and a positive second half pricing outlook. The broker increased its 2011 earnings per share forecast by 2.1% to 197.2p, and upped its target price from 2,950p to 3,020p. "Estimate increases are driven by encouraging first half organic performance (even ex Japan) and a positive pricing outlook going into the second half supported by additional price increases in Russia and Brazil, premiumisation and increased volumes in Japan," analysts said. Sector peer Imperial Tobacco was also higher, rising 0.59% to 2,050p.Meanwhile the industrial metals and mining sector was out of favour, tracking copper prices lower, which were 0.93% down at $401.55 in the afternoon.AIM-listed miner African Copper was among the fallers.BCThe Top performing sectors so far todayTobacco 31,419.54 +1.48%Health Care Equipment & Services 3,219.51 +0.79%Food & Drug Retailers 4,434.78 +0.31%Pharmaceuticals & Biotechnology 9,036.93 +0.15%Life Insurance 3,871.47 +0.12%Bottom performing sectors so far todayIndustrial Metals & Mining 6,084.37 -3.82%Forestry & Paper 5,654.96 -2.60%Industrial Transportation 2,226.01 -2.14%Fixed Line Telecommunications 2,091.26 -2.10%Automobiles & Parts 4,631.71 -2.03%