Associated British Foods share price: what’s the latest ahead of its full-year results
The British food processing and retail company will unveil its full-year results next week, with the company on track to meet its annual targets due to a strong performance from Primark.
![Associated British Foods](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/news-article-image-folder/bg_trader_359480658.jpg.jpg/jcr:content/renditions/original-size.webp)
Associated British Foods (ABF) will unveil its full-year results next week. The company is on track to hit its full-year targets, with earnings per share expected to be in line with last year’s 134.9p a share.
Unlike the name suggests, ABF owes its strong performance to retail rather than food, with growth from Primark able to offset its declining sugar business.
Looking to trade ABF and other retail stocks? Open a live or demo account with IG.
Primark’s US expansion offers major growth potential
Full-year sales at Primark are expected to be up 4% compared with last year, driven by strong performances in the UK, Europe and US markets.
The US market offers ABF huge growth potential which is why it has embarked on an expansion stateside.
‘Our US business continued to deliver strong sales growth, driven by excellent trading at the Brooklyn store, which opened last summer, and like-for-like growth,’ the company said in its pre-close trading statement.
‘This, coupled with the lower operating costs arising from the selling space reduction in three stores, will result in a significantly reduced US operating loss.’
You can go long or short ABF with IG using derivatives like CFDs
ABF will open its tenth US store at the American Dream Mall in New Jersey this autumn, followed by another opening in Sawgrass Mills in Florida later in 2020.
If ABF can make Primark a success across the pond, which it is more than capable of doing considering the strength of its balance sheet and strong track record of expanding into new territories, its share price could see significant gains over the medium-term.
So far, this year the stock is up more than 9%, trading at £22.72 a share as of 12:10 GMT on Friday.
This information has been prepared by IG, a trading name of IG Markets Ltd and IG Markets South Africa Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.
![](http://a.c-dn.net/c/content/dam/publicsites/igcom/uk/images/ContentImage/Shares global component NA banner.jpg/jcr:content/renditions/original-size.webp)
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get spreads from just 0.1% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
- Forex
- Shares
- Indices
Prices above are subject to our website terms and agreements. Prices are indicative only