EasyJet leads FTSE 100 higher but mining shares hit by poor Chinese data

Discussion in 'Market News' started by Lily, May 9, 2016.

  1. Lily

    Lily Forum Member

    Aug 29, 2015
    Likes Received:
    Analysts raise target price and push budget airline shares higher

    Despite poor trade data hitting mining shares, the UK market is moving higher after its recent weakness.

    Budget airline easyJet is leading the way, up 38p to £14.54 after analysts at RBC moved from underperform to outperform and raised its target price from £14.50 to £15.00 ahead of its half year results on Tuesday.

    Smith & Nephew has rebalanced away from hips/knees and now has leading positions in higher-growth segments. Trading at a 17% sector discount, the market has overstated CJR reimbursement risk and undervalued a 150 basis points uplift in organic growth atop a leaner cost base. Beyond 12% earnings per share compound annual growth rate, there is upside optionality from capital deployment and M&A. China is a key second quarter risk but we expect second half inflection, reducing overhangs and facilitating re-rating. We upgrade our price target to £13.75 (from £10.44)

    Continue reading...

Share This Page

free forex signals