Berenberg raises target price on Vistry
Analysts at Berenberg raised their target on construction firm Vistry Group from 1,210.0p to 1,270.0p on Wednesday, stating there was still more gains to come despite the stock's recent rise.
Berenberg said Vistry had been one of the best-performing stocks in the sector since the third quarter of 2020 – up 92% – and it thinks that this momentum will continue.
"We believe that the successful implementation of the group's growth plans, an improving balance sheet and the shifting sales mix will ultimately result in a re-rating for the shares," said Berenberg.
The German bank also said Vistry management's performance had so far been excellent, noting that if it can continue to execute as well as it has done, the analysts think that there could be an upside to numbers alongside the valuation uplift.
"Our forecasts are c2-5% ahead of FY 2021-23 consensus PBT expectations; consequently, we reiterate our 'buy' rating and raise our price target to 1,270p," said Berenberg.