To appear in Best of the Brokers, email your research to email@example.com
Numis thinks “the financials stack up” for Atkins to take over Balfour Beatty’s professional services business for around £600m, and that a deal could boost earnings per share by up to 15 per cent. The broker has raised its rating from “add” to “buy” with a target of 1,650p.
Edison has started covering the veterinary drugs company with a target price of 800p. The broker sees pet ownership rising, and predicts double-digit earnings growth for Dechra. Edison thinks Dechra’s pipeline warrants the stock a bigger premium to the rest of the sector.
LONDON STOCK EXCHANGE GROUP
Ahead of the exchange owner’s results on Thursday, Espirito Santo tells investors to “buy” the LSE at a fair value of 1,991p. The broker hopes to hear more from the firm on its purchase of the LCH.Clearnet clearing house, particularly in cost savings that could boost earnings.