Income stars: Imperial Tobacco due a re-rating

Tobacco group reports a 2% increase in net revenues as UK managers concur Imperial Tobacco is a key holding in their portfolios.

UK managers are backing Neil Woodford favourite Imperial Tobacco to see a “well overdue re-rating” after the firm reported a 2% increase in net revenues last week. Managers including PSigma’s Bill Mott and Walker Crips’ Jan Luthman said. Imperial’s share price held up strongly in the heavy market sell-off, losing just 1% since the start of August compared to market losses of roughly 15%. Imperial Tobacco is a favourite pick among UK managers, with Invesco Perpetual’s Woodford top of the shareholder register. He has a 3.75% stake in the tobacco giant in the £10.4bn High Income fun...