Broker Recommendations
Shell will have to prove ability to preserve returns, Jefferies says
Analysts at Jefferies nudged their target price for Royal Dutch Shell's A shares higher, from 3,000p to 3,050p, telling clients that the company would have to demonstrate its ability to preserve returns even as it invests in its low-carbon businesses, even as they labeled the potential for shareholder returns "compelling".
Peel Hunt upgrades Serco, says NSBU acquisition 'very good fit'
Peel Hunt upgraded its stance on Serco shares to 'add' from 'hold' on Wednesday, lifting the price target to 146p from 129p as it highlighted the company's "strategically attractive" acquisition of leading US navy service provider NSBU.
Wednesday broker round-up
Provident Financial: Canaccord downgrades to sell with a target price of 430p.
HSBC starts Fevertree at 'buy', takes a look at mid-cap soft drinks stocks
HSBC initiated coverage of Fevertree, Britvic, Nichols and AG Barr on Wednesday as it took a look at the mid-cap soft drinks market.
Morgan Stanley cuts target for Lloyds, sees RBS postponing share buybacks
Morgan Stanley slashed its target prices for several of the UK's largest lenders, as political uncertainty pushed out expectations for hikes in Bank Rate to the back half of 2020, which together with a flattening yield curve meant that consensus estimates for their net interest income were "too optimistic".
Liberum slashes target price on Ted Baker following profit warning
Analysts at Liberum slashed their target price on menswear retailer Ted Baker to 1,280p from 2,300p previously after the group issued a profit warning a day earlier.
UBS backs Tesco as retailer makes 'significant headway' in turnaround
UBS has upped its price target on Tesco, arguing that the supermarket chain is “fundamentally stronger" and that the market's ongoing scepticism is misplaced.
Liberum upgrades Go-Ahead earnings ahead of 'improved chance' for franchise win
Analysts at Liberum hiked their target price for shares of Go-Ahead Group from 1,930p to 2,000p, raising their 2019-20 earnings estimates in tandem on the back of an encouraging update on trading from the business' London and International bus division while expressing confidence that the company would likely retain its Southeastern Rail franchise.
RBC raises Vesuvius to 'top pick' following recent share price weakness
Analysts at RBC Capital Markets upgraded engineered ceramics company Vesuvius from 'outperform' to 'top pick' on Monday, citing the upside to be had following recent weakness, supported by the company's self-help measures.
HSBC downgrades Royal Mail despite 'credible' plan
Analysts at HSBC downgraded Royal Mail to 'hold' and cut their price target on the firm by almost a third on Friday, noting that its 2020 earnings before interest and taxes were likely to be lower than last year as positive earnings momentum was "some way off".
Friday broker round-up
Compass Group: RBC Capital Markets downgrades to sector perform with a target price of 1,800p.
Deutsche Bank downgrades Sage, sees slowdown in recurring revenue growth
Deutsche Bank downgraded its stance on shares of software group Sage to 'sell' from 'hold' on Friday as it pointed to a slowdown in recurring revenue growth.
Canaccord raises price target on 'confident' Ideagen
Analysts at Canaccord Genuity raised their target price for British software firm Ideagen from 160p to 170p on Thursday, citing the group's "confident" growth outlook and an "attractive" valuation as their reasoning.
Jefferies initiates coverage on Stobart at 'buy'
Analysts at Jefferies initiated coverage on Southend Airport owner Stobart at 'buy' on Thursday, saying that progress on several fronts might drive the shares higher.
Mitchells & Butlers shares 'cheap as chips', says Berenberg
Mitchells & Butlers shares are "cheap as chips", Berenberg said on Thursday as it bumped up its stance on the stock to buy' from 'hold' and lifted the price target to 360p from 265p.
Goldman Sachs upgrades IMI to 'buy', says concerns 'overdone'
Analysts at Goldman Sachs upgraded its recommendation for shares of flow control specialist IMI to 'buy' on Wednesday, citing margin improvements and industry consolidation.
