Jefferies continued to hold Kier group as their top pick in the construction sector ahead of its full year results on Thursday and expects the construction and property services provider to deliver profits before tax of £84.7m, in line with expectations. The broker said the integration of Mouchel consulting, bought three months ago, was going well. The broker has held its “buy” rating, with a target price of 1,590p.
Panmure Gordon has held its “sell” rating for Majestic Wines, with the broker citing unattractive rewards for the risk that the company will take longer to return to growth than expected. It remains unconvinced by the group’s £70m purchase of loss-making Naked Wines (NW) in April. The savings made so far have not justified the deal, and the broker doubts the new team from NW can turn things around.
Cantor Fitzgerald heralded the dawn of a new era for SuperGroup, the clothing manufacturer behind SuperDry, since management changes. The broker raised its pre-tax profit forecasts to £70.5m from £68.5m, due to strong sales - affirming management strategy to make the clothes more feminine - and a promising collaboration with Idris Elba. The broker held its “buy” rating.