Rolls-Royce: FTSE 100 giant worth £60bn after shares rebound
Rolls-Royce is worth £60bn again after shares in the FTSE 100 giant continued their recovery after President Donald Trump’s tariffs shocked global markets.
Shares in the Derby-headquartered group have now risen to more than 700p, giving it a market capitalisation of more than £60.5bn.
Rolls-Royce’s shares had been trading at more than 800p before Trump’s tariff announcement – causing a slump in global stocks.
As a result, shares in Rolls-Royce fell to a low of 635p before starting to rebound.
Prior to Trump’s tariff announcement, the group’s share price had rocketed after a defence summit in London at the start of March at which European leaders emphasised support for Ukraine and pledged to raise defence spending.
The spike saw Rolls-Royce’s share price surge from just over £600p to more than 800p in a matter of days.
But its shares started to tank at the start of April after Trump sparked fears of a global trade war.
The fall saw all of the gains made following the defence summit almost completely wiped out – a fall which has now been half recovered from.
Rolls-Royce shares rise after FTSE 100 drop
Shares in Rolls-Royce started to rebound a few days after the initial crash which saw the FTSE 100 group lose more than £10bn in value.
At the end of February, the FTSE 100 engineering giant proposed a 6p per share dividend for investors in what marked its first payout since before the pandemic.
Revenue of £17.8bn also beat analysts’ consensus of around £17.3bn.
The rise in Rolls-Royce’s shares comes as the FTSE 100 fell by seven points at open this morning, following a major US market slump on Bank Holiday Monday.
US stock markets took another hit on Monday, with the S&P 500 closing down 2.38 per cent – at 5,158 – while the Nasdaq fell 2.5 per cent and and Dow Jones slumped 2.48 per cent.
This latest stock market dip came as Trump doubled down on his attacks on Federal Reserve chair Jerome Powell, who the US President slammed as “a major loser” whose removal “cannot come soon enough.”