BEST OF THE BROKERS
CABLE & WIRELESS
Morgan Stanley initiates coverage of Cable & Wireless (CWC) at “equal-weight” with a 72p price target. Morgan Stanley said that although it acknowledges that CWC has improved operating performance it sees better upside elsewhere in the sector. Beyond the dividend yield valuation does not look compelling, believes Morgan Stanley.
L’OREAL
UBS reiterates its “buy” recommendation on L’Oreal and said that second quarter sales were up 12.4 per cent year-on-year to €4.9bn. UBS said, on the positive side, growth remained broad-based across all regions and divisions with luxury stronger than expected and management providing encouraging comments on Inoa and YSL.
DOMINO’S PIZZA
Altium Securities says interim results confirm that Domino’s Pizza is a truly unique company and gives it a “buy” rating. Altium said positive catalysts in the first half led to growth, including an increase in short term tactical promotions, the start of the World Cup and the growth in sales through the e-commerce platform.