Best of the Brokers for 09 February 2015

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BT GROUP
Besi Research reiterated its “buy” rating for the telecoms group, after incorporating the upcoming EE deal into its forecasts. The broker said “given the strategic opportunity and synergy potential”, the price being paid is fair, and added that BT’s dividend is unlikely to come under pressure.

CATLIN GROUP
Westhouse Securities reiterated its “neutral” rating for the insurance group, but said its forecasts are “somewhat academic” given that the firm is subject to a recommended bid by XL Group which values Catlin at $4.2bn (£2.8bn). The broker said this was fair value for the group, “but not exciting”.

GULF KEYSTONE PETROLEUM
Cantor Fitzgerald reiterated its “buy” rating for the oil firm, noting that it is working towards an early pipeline access solution for its Shaikan operation, which will “significantly improve margins” over using trucks to export. The broker also said the firm is taking a prudent approach to capex in 2015.