Brokers: Centrica in favour with Credit Suisse
Date
7/28/2016 5:51:19 AM
(MENAFN- ProactiveInvestors - UK) Josh Allsopp , Wed
UK energy firms received a boost of broker confidence today, with both Credit Suisse and Deutsch Bank upgrading their price targets for Drax Group PLC (LON:DRX). Deutsche Bank upped its target price from 250p to 300p. JP Morgan Cazenove raised the target price to 370p.
Centrica (LON:CNA), the parent company of British Gas, was also upgraded by Credit Suisse from 260p to 270p.bThe Zurich-based bank indicated a potential upside of 11% from this morning's opening price, with a current rating of 'underperform'.
Meanwhile, National Grid PLC (LON:NG. had its target price upgraded from 820p to 840p, indicating a potential decrease of 24% from its current price of just over 1,100p.
Over in mining, Petra Diamonds' (LON:PDL) rating was downgraded from Buy to Hold by Investec Securities. Earlier this week it reported a marginal 1% revenue increase, whilst hitting production targets early.
Era-branded lock maker Tyman PLC (LON:TYMN) was upgraded by Jefferies International. The American bank indicated a potential upside of 10% from its current price of 290, reaffirming the 'Buy' rating it issued last week.
In a market where everyone is panicking about house prices and property funds, online house-seller Rightmove PLC (LON:RMV) remained a source of tranquillity according to analysts at AJ Bell.
The broker said the continuation of strong monthly revenue highlighted the resilience of its business model. Analysts said that estate agents struggling to sell property following Brexit are likely to spend more on marketing, playing straight into Rightmove's hands as the market leader for property advertisements.
Only yesterday did Deutsche Bank downgrade its forecast for Taylor Wimpey (LON:TW. along with a swathe of other house-builders , but the group was one of the biggest risers this morning., with shares up almost 5%.
Senior analyst at Hargreaves Lansdown, Laith Khalah said that 'Taylor Wimpey isn't blinking in the face of Brexit, and its early indications show the referendum hasn't really dented business.'
'Confidence is a key part of the housing market, and so far this seems to be holding up well in the weeks following the EU vote.'
Josh Allsopp