Rolls-Royce now worth over £70bn as FTSE 100 shares climb
Rolls-Royce is now worth more than £70bn after shares in the FTSE 100 giant continued their remarkable comeback.
Shares in the Derby-headquartered group ended Thursday, 22 May, priced at 839p which has given it a market capitalisation of £71bn.
This is the first time in Rolls-Royce’s history that it has passed the £70bn valuation mark and comes a week after its shares surpassed their previous high.
On Thursday, 15 May, shares in the FTSE 100 group were changing hands for 816p, 4p higher than its previous record which it set on 19 March.
Morning Wire reported earlier this week that shares in the group had passed the 800p mark for only the fourth time.
Rolls-Royce first passed the 800p mark on 5 March before the ups and downs of the London Stock Exchange that month saw it do so it twice more in the following couple of weeks.
But the FTSE 100 giant saw its share price slump to 635p in the wake of US President Donald Trump’s tariff announcement at the start of April. The fall wiped around £10bn off Rolls-Royce’s valuation.
But since its low point on 7 April, the group’s share price has been steadily recovering.
FTSE heads for fifth consecutive week of gains
Rolls-Royce’s latest milestone comes as the London Stock Exchange’s FTSE continues its recent run of gains.
Derren Nathan, head of equity research at Hargreaves Lansdown, said: “The Footsie has that Friday feeling and looks set to end the week in an upbeat fashion, rising nearly 30 points at the open after some profit-taking yesterday.
“Despite ongoing worries about both the domestic and global economy, the index is set to close out five weeks of gains and remains in striking distance of all-time highs.”
Rolls-Royce’s share prices on the up and up
Earlier this month, Rolls-Royce’s share price completely recovered from the tailspin President Donald Trump sent global markets into when he announced a raft of tariffs at the start of April.
The group suffered a huge slump in its share price following the US president’s so-called “liberation Day’ on 2 April.
The announced tariffs saw shares in the Derby-headquartered group fall from 779.4p on 1 April to 635.8p by the end of trading on 7 April.
While Rolls-Royce did suffer a huge fall in its share price in the wake of the tariffs announcement, their value never dipped below where they had been trading before a huge spike in value at the end of February.
That increase, sparked by encouraging financial results and a Ukraine defence summit, saw its share price rocket from 6062p to 805.2p in a matter of days.