Morning Movers Podcast - Thu 29 Oct 2026

Whitbread, the owner of Premier Inn hotels in the UK and Germany, reports a positive response to the recent UK budget, anticipating a profit boost of £45 to £60 million by February 2024 due to changes in business rates for the hospitality sector. Despite this promising outlook, the company's share price remains stable after a previous rise. The announcement highlights Whitbread's strong balance sheet, which includes significant freehold property holdings, making it a potential target for takeover bids.

In contrast, PPHE Hotels shares remain unchanged following a Q3 trading update that shows a 300 basis point increase in like-for-like occupancy and a 6% revenue rise. The company has sold a site in New York, but its complex financial structure raises concerns about its valuation. Meanwhile, Rank Group faces challenges as the budget introduces a rise in machine games duty, expected to cost the company £2 million in the current year and £9 million annually thereafter, impacting its profit forecasts.

Other companies in the market experience mixed results, with Vanquis Banking Group's shares plummeting 29% following a troubling Q3 update, indicating a likely profit warning. Zinc Media also suffers a 25% drop after announcing a heavily discounted placing, reflecting ongoing management issues and investor dissatisfaction.

As always, just my fallible personal opinions, never advice or recommendations. Please do your own research (DYOR).

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