Best of the Brokers for 28 March 2013

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BRITISH LAND
Societe Generale has upgraded the FTSE 100 property owner from a “hold” recommendation to “buy”, saying it supports its plan of disposing certain assets to invest in less risky ones. “British Land is the perfect example of how to benefit from lower gearing by enhancing its risk/reward profile, and thus a lower cost of capital,” the bank said, upgrading its target price to 630p.

MULBERRY
Panmure Gordon has cut its target price on the luxury fashion retailer and has downgraded profit forecasts for 2014 and 2015, saying it is cautious over a sales recovery after Mulberry issued a profit warning last week owing to lower tourist demand. However, Panmure maintains that the company has a strong product pipeline and reiterated its “buy” guidance with the target cut from 1100p to 950p.

HAMMERSON
Deutsche Bank has retained its “buy” recommendation on the property developer, although it has cut its price target from 560p to 550p. The bank says that Hammerson has a strong list of potential developments in luxury retail outlets in the UK and France although it warns of a potential downside because of the risk of further falls in UK consumer spending.