Collins Stewart’s “buy” note comes off the back of an unscheduled positive trading statement from the property website – implying market forecasts for 2010 were materially too low. It said Rightmove’s business model delivers very strong cash flows, with minimal marginal costs, or capital requirements and should be valued on the basis of its medium-term revenue potential.
Evolution Securities says Monitise is now taking its proven technology and business model to new geographies and market segments. Monitise has successfully drawn Carphone Warehouse and Visa as strategic partners, and investors like First Eastern. The share price is expected to rise during 2010 and as a result it has issued a “buy” recommendation.
Numis reiterates its “buy” recommendation ahead of results. Rathbone has a good reputation among traditional wealth managers and an ageing population should transfer significant investable pension assets into the funds of retail managers and away from direct institutional management, it added. “Buy on fundamentals and long-term growth opportunities,” it said.