Panmure Gordon rates the housebuilder “buy” at a 147p target price as it believes the stock is the lowest-valued in the sector. It says Barratt has improved its operating performance, reduced costs and improved the quality of its offering since 2007, and the broker expects Barratt’s share price to rise to reflect this in 2011.
Evolution Securities has moved the brewer to “sell” with a €32.50 (£27.00) target price after a weak performance in 2010 and concern its share price, currently at a 13 per cent discount to peers, will lag again in 2011. It generates 40 per cent of profits in mature markets where sales are expected to fall this year, while input costs rise.
Altium Securities rates Topps “buy” with a 100p target price after a decent first-quarter performance in difficult trading conditions. The broker believes Topps has scope for further UK growth and less gearing than competitors. It has set a target of opening another 90 stores and will be boosted by a housing recovery, says Altium.