The FTSE 100 index extended its recovery this week, reaching its highest level since April 2. It has jumped by 11.2% from the lowest level this year. Precisely, it soared for nine consecutive days, its longest streak in over a year.
The recovery has mirrored that of other European indices like the German DAX and French CAC 40. It began after Donald Trump softened his stance on tariffs and started negotiating with other countries.
This article looks at some of the top FTSE 100 shares to watch next week as they publish their quarterly financial results. These firms include popular names like HSBC, GSK, NatWest, Lloyds, and Shell.
HSBC (HSBA)
HSBC, the biggest bank in Europe by assets, will be one of the top FTSE 100 shares to watch next week as it releases its results. The stock has jumped to 830p, up by almost 20% from its lowest level this month.
Its performance is mostly in line with other top European banks whose stocks have soared this year. HSBC’s earnings will provide color on its performance as the trade war between the US and China continues.
While HSBC does not have a major presence in the US, it has a large business in China. China may need additional stimulus this year, particularly following the IMF’s downgrade of its economic outlook to 3.2%.
In most cases, China stimulus measures will lead to thinner margins as they will involve rate cuts. A key aspect to watch when HSBC releases its numbers is whether it will outsource its trading business, a move aimed to boosting returns.
Read more: HSBC launches $2 billion share buyback as annual profit rises 6.5%
GSK
The other top FTSE 100 stock to watch will be GSK, one of the top pharmaceutical companies in the UK. While the GSK shares have bounced back from their monthly lows, they remain significantly lower than its highest levels in 2024.
These numbers come a few months after the company published strong numbers and launched a $2.5 billion buyback. A buyback helps investors by boosting the earnings per share.
It also revised its 2025 estimates, with growth expected to be between 3% and 5%, and operating profit growth between 6% and 8%. The company also delivered its 2031 sales outlook to be £40 billion.
Glencore (GLEN)
Glencore is also one of the top FTSE 100 shares to watch as it releases its financial results next week. These numbers come at a time when the stock has been under significant pressure in recent months, having fallen by almost 50% from its highest level during the pandemic.
Glencore’s results come as most commodity prices remain under pressure because of the trade war. Fortunately, copper, its core metal, has jumped in the last three consecutive weeks as investors predict more Chinese demand.
Shell (SHEL)
Shell, the biggest energy group in the FTSE 100 index, will also release its numbers next week. These results come as its stock trades at 2,435, down from the year-to-date high of 2,842p.
The stock will likely be affected by the trends in the oil market. As we have predicted, there are odds that the Brent and West Texas Intermediate (WTI) will crash below $50 in the near term because of the supply and demand imbalance.
NatWest, Lloyds, and Standard Chartered
The other group of FTSE 100 shares to watch is banks like NatWest, Lloyds Bank, and Standard Chartered. These numbers come as most UK bank stocks are soaring. The Lloyds share price has jumped to 2008 highs.
Similarly, the NatWest stock price has soared to 468p, its October 2008 highs. Standard Chartered stock has also bounced back in the past few weeks. These results will show whether these banks are still growing.
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