Citi rates the airline a “buy” with a target price of £3.75, but marks it high risk ahead of the launch of its new post-merger holding company, International Consolidated Airlines Group, on 24 January. The broker says BA’s risks look manageable, while cost synergies and growing demand for first class travel will benefit the group.
RBS reiterates its “buy” rating on the outsourcer with the view it will deliver double digit organic sales growth again this year. The company is pursuing European expansion plans more aggressively now, and a recent contract win supports views that it can secure more deals in coming months. RBS’s target price is set at £2.70.
S&P Equity Research rates the drinks maker “buy” and has upped its target price to £13.50 from £12.10 on expectations of good first-half results out next month and more sales growth over the coming half. First-half forecasts – to January 2011 – are for 5.6 per cent EBIT growth and 2.6 per cent organic revenue growth.