Wednesday preview: Domino's Pizza and ASOS report

1st Apr 2014 15:10

Domino's Pizza is expected to deliver strong growth in like-for-like (LFL) sales for the first quarter in a trading update on Wednesday.The takeaway food chain's sales have been supported by improved consumer confidence in the UK, increased marketing and advertising activity and new product ranges, according to Numis."This first quarter trading update should be strong given that UK LFL sales rose 14.6% during the first seven weeks of the three month period," the broker said. "During the last six weeks to the end of March, the LFL comp is 12%, so one should expect LFL sales to have slowed from 14.6%, yet still remain impressive."Numis gave the shares a 'buy' rating and target price of 710p.Meanwhile, fashion retailer ASOS will report its interims the week after reporting a slowdown in sales growth. The group said it was confident in achieving its £1bn revenue target in full year 2014.An analyst's note this week from Barclays said ASOS was "one of best positioned e-commerce pioneers with a proved international model" and suggested the company could eventually be worth £100 a share. To this end, ASOS recently announced an acceleration of its infrastructure investment, including additional storage and a dedicated returns facility in the UK and a new EU distribution hub. "While this is an exciting development, it will result in dual-running costs," according to Numis, which lowered its full-year 2014 pre-tax profit estimate from £68.5m to £64m, reflecting £5m of dual running costs and an increase in China start-up losses.However, the broker gave the company a 'buy' rating saying it "remains confident that ASOS is building a unique proposition, a profitable fast fashion pureplay destination, squarely targeting its 20 something market, with a vast global growth opportunity".Taking a longer-term view, Barclays analysts said: "Despite its rapid expansion, ASOS is still at an early stage of its growth and we think its current valuation fails to reflect both the growth of the global online apparel market and Asos's opportunity to further increase its pace of market share gains."On the macro-economic front, the ADP US Employment report will be released which is expected to show employers added more jobs in March. Another release on US factory orders is forecast to reveal growth in February.Wednesday April 2ndINTERIM DIVIDEND PAYMENT DATEDartyINTERIM EX-DIVIDEND DATEAbbey, Finsbury Food Group, Henderson EuroTrust, Plexus Holdings, Produce Investments, Smith (DS), WolseleyQUARTERLY PAYMENT DATEBlackrock North American Income TrustQUARTERLY EX-DIVIDEND DATEInvestors Capital Trust 'A' Shares, Investors Capital Trust 'B' Shares, JP Morgan Chase & Co, Mercantile Investment Trust (The), Schroder Income Growth FundINTERNATIONAL ECONOMIC ANNOUNCEMENTSADP Employment Report (US) (13:15)Crude Oil Inventories (US) (15:30)Factory Orders (US) (15:00)GDP (2nd release) (EU) (10:00)Goods Orders (US) (15:00)MBA Mortgage Applications (US) (12:00)Producer Price Index (EU) (10:00)INTERIMSAsosFINALSAmiad Water Systems Ltd, Cupid, Inditherm, MHP SA GDR (Reg S), office2office, CupidIMSSDomino's Pizza Group, DunelmSPECIAL EX-DIVIDEND PAYMENT DATE888 Holdings, NextAGMSDomino's Pizza Group, JSJS Designs, Jupiter Second Split Trust Geared Gwth Shares, RCM Technology Trust, Teliasonera AB, Zenith Bank GDR (REG S)TRADING ANNOUNCEMENTSPlus500 Ltd (DI)UK ECONOMIC ANNOUNCEMENTSPMI Construction (09:30)Nationwide House Price Index (07:00)FINAL DIVIDEND PAYMENT DATEGreencore GroupFINAL EX-DIVIDEND DATE32Red, 888 Holdings, Amino Technologies, APR Energy, Aviva, Belvoir Lettings, Dragon Oil, Glanbia, Heavitree Brewery, Heavitree Brewery 'A' Shares, HGCapital Trust, Interserve, Jardine Lloyd Thompson Group, John Laing Infrastructure Fund Ltd, Miton Group, Motivcom, New Europe Property Investments, Nichols, Pearson, Phoenix Group Holdings (DI), Resolution Ltd., SpaceandPeople, Stadium Group, Tullow OilRD