Resolution sees shares jump on dividend outlook

Resolution, the insurance acquisition specialist, has seen its shares leap today after it was upgraded by analysts because of its attractive dividend yield.

The company has had a tough 2012, with shares currently down around 20% in the last 12 months, following a sell-off before the summer. However, today shares climbed 6.5% to 235.7p in a move which saw it lead the FTSE 100 higher, after analysts at Bank of America Merrill Lynch upgraded the stock to 'buy' from 'hold' thanks to its high dividend yield. Analyst Blair Stewart said Resolution's share price has lagged the wider sector substantially year to date, leaving it looking attractive on a valuation basis, particularly given its 9.5% dividend yield. "Resolution shares are down 10% ...