FTSE 100 movers: Admiral hit by downgrade; housebuilders gain

(Sharecast News) - London's FTSE 100 was down 0.1% at 9,209.92 in afternoon trade on Friday. Admiral was knocked lower by a downgrade to 'sell' from 'reduce' at Peel Hunt, which cited a weaker outlook for UK motor underwriting margins.

The broker, which lifted its price target to 2,350p from 2,270p, said: "The outlook for UK motor underwriting margins is starting to deteriorate, albeit from a high base, as rates continue to soften.

"We believe discipline will be required across the UK motor market in the second half of 2025 to avoid a sharp deterioration in underwriting margins in 2026. Admiral has gained considerable market share in UK motor over the past two years and it should be interesting to see how far it will go to protect this."

Housebuilder Berkeley gained as it reiterated its full-year profit guidance after "stable" trading over the first four months of its financial year.

The company said it is on target to hit the pre-tax earnings guidance of £450m for the 12 months to 30 April 2026, 85% of which is already secured through exchanged sales contracts, with a similar profit expected next year.

Peers Persimmon and Barratt Redrow also rose. The sector got an added boost as data from Halifax showed UK house prices rose in August for the third month in a row, to a fresh record high.

House prices ticked up 0.3% on the month following a 0.4% jump in July. On the year, prices were up 2.2% in August, easing from 2.5% growth the month before.

The average price of a home stood at £299,331 last month, up from £298,400 in July and marking a new record high.

NatWest fell after a downgrade to 'underperform' at BNP Paribas Exane.