Best of the Brokers for 06 February 2014
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JD WETHERSPOON
Barclays has upgraded the pub chain to “overweight” with a target of 880p. The broker thinks Wetherspoons is being overlooked due to a price to earnings ratio that is below the long-term average for the firm, but thinks the shares could catch up with the sector soon.
ARROW GLOBAL
Panmure Gordon has started covering the debt purchaser with a “buy” rating and 335p target. The broker is impressed by Arrow’s low gearing and high margins, along with the projected double-digit growth in UK debt purchase market in the next five years.
ASHMORE
Canaccord Genuity has lifted its rating on the emerging markets fund manager to “buy” with a target of 400p. The broker reckons Ashmore’s high proportion of institutions, governments and sovereign funds means it will weather the investor flight from emerging markets better than most.