<!--StartFragment--><strong> ROLLS-ROYCE</strong><br />UBS downgraded Rolls-Royce to a “sell” rating, and cut its earnings per share estimates by seven per cent in 2010, to factor in a weaker A380 delivery outlook, a downward revision to the pension finance charge and the impact of the US dollar weakening. The broker expects two years of falling profits and cash out-flows.<br /><br /><strong>RSA</strong><br />A period of underperformance against the wider insurance sector led Morgan Stanley analysts to upgrade RSA to “overweight”. The broker said that investors switching out of defensive stocks such as RSA and into higher beta names within the sector has created a buying opportunity, with the market price largely ignoring the value of the Nordic business.<br /><br /><strong>PLAYTECH</strong><br />Playtech’s growth story remains intact said Goldman Sachs, retaining its “conviction buy” on the stock. The broker continues to believe that a strong portfolio of reliable casino products, iPoker’s strong liquidity and regular new product launches make Playtech attractive to potential licencees. Goldman’s six month price target remains unchanged at 550p.