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FTSE 100 Live:  PMIs Suggest UK Recession May Already Be Over

The run that Rolls-Royce is on is remarkable. It is up by another 9% today and its gain since the start of 2023 has now reached a wild 286%. Not quite Nvidia, but quite something.

As you can see from the chart below, it wouldn’t take much for Rolls Royce to surpass its 2018 peak — a gain of less than 5% would do it. That would push the stock to its highest price of the past decade.

Rolls Royce Nears Highest Price of Past Decade

Analysts’ response to today’s numbers is very positive. Barclays said the results are “exceptional” and beat expectations on every metric. Citigroup said the guidance for 2024 is stronger than anticipated too and, given a track record now of forecasts from the company that have proved conservative, will be taken very well.

CEO Tufan Erginbilgic said on the earnings call that more growth should come too from the bounce back in long-haul travel, which has jumped past pre-pandemic levels. This strength in Rolls-Royce markets, along with its cost-cutting and profit-boosting measures, is what is causing such a strong run of results.

All of which means its shares are now up by nearly 20% this year and only a small extra gain away from taking the top spot among the FTSE 100’s best performers this year too.

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