Sector movers: Beverage stocks rise as investors toast company results

17th Oct 2013 15:34

Well-received updates from rivals SABMiller, Diageo and Britvic gave the beverages sector a boost on Thursday.Brewing giant SABMiller, which owns several beer brands including Coors and Miller, was up 3.67% at 3,151.5p in afternoon trade after saying that strong volume growth at its African business offset a challenging environment in parts of Europe.Organic lager volumes specifically were up 1%, beating the consensus estimate for no growth and rebounding after a 1% decline the previous quarter.Canaccord Genuity upgraded its rating for SABMiller today from 'sell' to 'hold', saying that the results showed an "improved performance". The broker said that SABMiller has "defied the more extreme emerging-market sceptics" by reporting that volume and revenue growth had picked up in the three months to September.Diageo edged 0.54% higher to 1,948.50p after saying that strong growth in US spirits outweighed slowing growth in some emerging markets in its first quarter. Organic net sales were up 3.1% with revenues in North America rising 5.1%, helped by sales of vodka brands Cîroc, Crown Royal and Ketel One.Meanwhile, soft drinks group Britvic rose 1.5% to 609p as the Robinsons, Tango and J2O owner reported 12.8% growth in fourth-quarter revenues, driven by warm weather in July. Canaccord Genuity raised the stock from 'sell' to 'hold'.Top performing sectors so far todayPersonal Goods 24,002.91 +1.72%Beverages 14,398.90 +1.52%Media 6,315.07 +1.40%Food Producers & Processors 6,853.45 +1.33%Mobile Telecommunications 5,304.77 +1.31%Bottom performing sectors so far todayTechnology Hardware & Equipment 1,161.35 -2.57%Industrial Engineering 10,305.73 -1.71%Construction & Materials 4,308.65 -1.56%Banks 4,928.87 -1.55%Oil Equipment, Services & Distribution 23,593.97 -1.24%BC