BEST OF THE BROKERS
RECKITT BENCKISER
Execution Noble rates Reckitt Benckiser as “sell”, with a fair value of 3,106p. Execution believes the SSL deal makes strategic sense, but cites the timing of the deal as evidence of increased competition in the company’s core categories and expects continued evidence of this in second quarter results next week.
MORGAN STANLEY
JP Morgan Cazenove reiterates its “overweight” rating for Morgan Stanley, with a target price of 3,300 cents. Morgan Stanley reported better performance in fixed income clean revenues than its peers, according to JP Morgan, and said it has positive trends in wealth management and equities sales, and an improving capital position.
BHP BILLITON
Citigroup rates BHP Billiton as “buy”, and recommends a target price of 2,700p. Citi reports BHP’s June production was better, but slightly below expectations due to lower-then-expected iron ore and oil production. Economic commentary remains cautious on uncertaintly on near-term-growth in the developed world, said Citi.