Deutsche Bank rates the retailer “hold” with a target price of 45p. The broker has cut its profit forecast by 20 per cent after a gloomy set of results last week, and sees an eight per cent drop in like-for-like sales in the second half of the year. It has concerns about the focus on DVD and music.
RBS has downgraded the oil explorer to “hold” from “buy” with a target price of 565p, down from 900p. The broker believes the firm’s profit potential will not surface until the end of 2011 when drilling activity increases, and that the firm’s upstream portfolio will grow less quickly.
HSBC rates the retailer “underweight” with a target price of 600p. The broker notes that the firm’s recent results were at the lower end of expectations, and has cut its 2012 and 2013 pre-tax profit estimates by 10 per cent. It adds that uncertainty over the UK housing market continues to be a risk for the company.