How to interpret stock market announcements

By Rodney Hobson

This book looks at company announcements, focussing on those issued through the London Stock Exchange by listed companies.

Almost all these announcements – such as annual results, share buying by directors, profit warnings and updates on current trading – are required under stock exchange rules or European Union directives. This book explains these rules and shows how to make sense of the announcements; enabling investors and others to take informed decisions.

The book is divided into three sections:

Section A looks at what the rules are, why they have been imposed and how they have evolved to give private investors a much fairer opportunity of competing with professional investors.

Section B lists and explains the routine statements that all companies issue on a regular basis: trading statements and profit figures. It tells readers what to look for, explains company jargon and shows how to read between the lines when all is not as well as it seems.

Section C considers important announcements, such as profit warnings and directors’ share dealings, that are issued on an irregular basis as they arise. It explains which announcements are likely to affect the share price and why.

‘Understanding Company News’ is for all those baffled shareholders who throw communications from their companies straight into the bin and any investors who read company pronouncements but perhaps naively take everything they see at face value. And anyone working in related industries looking to untangle these company announcements will also find this book extremely valuable.

Rodney Hobson is an experienced financial journalist who has held senior editorial positions with publications in the UK and Asia and is currently Editor of Ipreo, an international financial services group.

Among posts he has held are News Editor for the Business section of The Times, Business Editor of the Singapore Monitor, Deputy Business Editor of the Far Eastern Economic Review, Head of News at Citywire and Editor of Shares magazine. He has also contributed to the Daily Mail, the Independent and Business Franchise Magazine.

Rodney is the author of financial titles Shares Made Simple, now in its second edition (9780857192356), Small Companies, Big Profits (9781905641789), Understanding Company News (9781906659226), How to Build a Share Portfolio (9780857190215) and The Dividend Investor (9780857190963). He also writes the Detective Inspector Paul Amos Lincolnshire Mystery series of book (Dead Money, and Unlikely Graves).

He is registered as a Representative with the Financial Services Authority.

Rodney is married with one daughter.