BEST OF THE BROKERS

STAGECOACH
RBS has upgraded the transport group to “hold” from “sell” with an upgraded target price of 200p. The broker sees Stagecoach’s expansion in North America as a key question for the board, with a lack of franchise partners currently thwarting growth. It believes the firm could return up to £250m to investors in 2011.

EXPERIAN
BNP Paribas rates the credit checking firm “neutral” with a fair value of 826p. The broker notes that shares are trading at close to their historical premium, and now sit close to the price to earnings fair value. It warns that Experian shares’ easy ride is over, and that further price upgrades would have to be driven by higher earnings.

MOTHERCARE
Goldman Sachs has downgraded the retailer to “neutral” from “buy” with a six-month target price of 650p. The broker expects to see continued pressure on UK margins despite an improvement in international markets, and believes the 20 per cent increase in the share price since November means the stock is now fully valued.