Best of the Brokers for 25 February 2014
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RIGHTMOVE
Canaccord Genuity has cut the online property group from “buy” to “hold” but keeps its target price at 3,000p. While Rightmove impresses the broker with its high return on capital, Canaccord reckons Agents’ Mutual will seriously challenge the rest of the property market from next year.
GULF KEYSTONE PETROLEUM
Cantor Fitzgerald keeps a “buy” rating and 235p target ahead of the firm’s long-awaited move from Aim to the main London Stock Exchange. The broker thinks GKP is likely to issue more debt as production at its Shaikan project ramps up.
GO-AHEAD GROUP
UBS upgrades the bus and rail group from “sell” to “neutral” and hiked its target from 1,700p to 2,150p as part of a review of travel firms. The broker thinks the market is yet to price in the potential of rail deals over the long term, though it adds that the returns on franchises can be volatile.