St James’s Place share price rallies as group’s net inflows rise

Shares in St James’s Place (LON:STJ) have jumped in London this morning as the blue-chip group posted a rise in net inflows. The asset manager, however, pointed to challenging market conditions, which are expected to slow the pace of fund inflows.

As of 09:40 GMT, St James’s Place’s share price had added 2.15 percent to 961.60p, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.12 percent lower at 6,834.45 points. The group’s shares have lost more than 22 percent of their value over the past year, as compared with about a 10.6-percent dip in the Footsie.

St James’s Place posts results

St James’s Place announced in a statement this morning that it had added £2.6 billion of net inflows in the fourth quarter of its financial year. For the 12 months ended December 31, the company net inflows of £10.3 billion, or up eight percent, while funds under management rose five percent to £95.6 billion.

“Against the particularly difficult market conditions that prevailed in the final quarter and compared to an exceptional outcome in 2017, I am pleased to report another good set of results,” St James’s Place chief executive Andrew Croft said in the statement. “While challenging market conditions, like those currently being experienced, will slow the pace of fund inflows from time to time, the fundamentals of our clients' financial planning requirements remain unchanged.”

Analysts on FTSE 100 group

The 16 analysts offering 12-month price targets for St James’s Place for the Financial Times have a median target of 1,280.50p on the shares, with a high estimate of 1,458.00p and a low estimate of 950.00p. As of January 22, the consensus forecast amongst 16 polled investment analysts covering the blue-chip group has it that the company will outperform the market.

As of 10:18 GMT, Thursday, 24 January, St. James's Place plc share price is 961.60p.