The storm over bonus payments at JD Sports Fashion was far from the minds of shareholders on Friday as the high-flying FTSE 100 stock raced 4% up to another record.
Better-than-expected results from Nike triggered the latest surge for the retailer, which started life with one store in Bury in 1981 but now has over 2600 generating annual sales of more than £6 billion.
About £1.8 billion of this figure comes from the United States, where the sportwear giant Nike said post-lockdown trading has been particularly strong. Nike shares surged as much as 14% in after-hours trading last night, while JD rose 38.2p to 950.8P for a stock market valuation of about £9.5 billion.
JD’s strong share price performance is unlikely to spare the company a backlash at its AGM on Thursday, with voting advisory groups critical of £4.3 million of bonuses for executive chairman Peter Cowgill in a year of Government support. JD says most of the bonuses were agreed prior to the pandemic.
The FTSE 100 index rose 9.26 points to 7,119.23 after Wall Street set fresh records on relief that Joe Biden’s $1.2 trillion infrastructure bill had secured US Senate agreement.
Other big risers in London included advertising and media giant WPP, which rallied 17.4p to 997p after analysts at Credit Suisse upped their target price to 1,060p.
Airline stocks remained under pressure, however, as industry bosses expressed frustration at the pace of plans for easing UK travel restrictions. BA owner IAG fell 3.14p to 189.04p, while easyJet was off 14.4p to 955p in the FTSE 250 index.
London’s second tier benchmark fell 20.02 points to 22,490.10, with property stocks Crest Nicholson and Bellway among those lower after posting big gains yesterday.
In the FTSE All-Share, Capital & Regional made progress amid positive trends on the reopening of its retail estate.
Shares rose 4.2p to 78.8p as the firm behind malls in Wood Green and Walthamstow said it had collected 70% of 2021 rents and 84% of those due in 2020.
