BEST OF THE BROKERS

CARPHONE WAREHOUSE
RBS rates the retailer “sell” with a target price of 244p. The broker expects a decline in like-for-like sales when the firm reports its third quarter results on 18 January, with only rapid growth in the US driving the shares at the moment. Conditions will remain tough, RBS believes, with economic hardship in the UK and Spain hitting sales.

GARTMORE
Numis Securities rates the fund manager “hold” with a target price of 101p. The broker expects the firm’s takeover by Henderson to go through, due to a high level of commitment to the deal. Numis believes the takeover is only modestly value accretive for Henderson, but has raised its target on that firm to 145p from 139p.

MORRISONS
Seymour Pierce rates the supermarket chain “hold” with a target price of 300p. The broker views Morrisons’ £28m purchase of 16 Netto stores as a bold step, given the size of the shops, but does not expect it to materially change its forecasts. It expects shares to be driven by risk appetite and economic factors.