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Numis reiterated its “buy” rating with a target price of 62p. Modern Water announced its largest ever contract yesterday, as preferred bidder to design and build a wastewater treatment plant in Gibraltar. The broker said this was “clearly a very important win”.
MARKS AND SPENCER GROUP
Citi dropped its target price to 400p while maintaining a neutral rating. The broker based its minus four per cent second-quarter sales forecast on recent unseasonally warm weather patterns and cited fears that the ongoing online sales channel shift will drive adverse group operating cost leverage.
Westhouse Securities reiterated its “sell” rating with a 230p target price. Cobham is at risk of a negative re-rating, according to Westhouse, and its 10 per cent dividend growth policy may become unsustainable, thus it assumes growth will be below this in future.