BEST OF THE BROKERS
BHP BILLITON
Evolution Securities says the balance of probabilities moving forward on BHP Billiton’s bid for Canadian owned Potash Corporation is in the mining company’s favour. The broker reiterates a “buy” for BHP because the company is not stinting on other growth investments by virtue of its strong balance sheet.
GROUPE EUROTUNNEL
Nomura’s confidence in its forecasts for Eurotunnel is increasing. The broker is becoming more confident that the focus on higher-yielding smaller customers, combined with the market growing again during the first half, should see Eurotunnel’s market share return to previous levels. The broker reiterates a “buy”.
EADS
JP Morgan Cazenove upgrades EADS to an “overweight” rating based on healthy trading posted by Airbus. After a decade of trading Airbus profits at a rate 20 per cent better than the prevailing spot rate, the broker says hedge and spot rates have now converged. The broker expects Airbus to remain in profit despite production issues.