BEST OF THE BROKERS

NOKIA
Standard & Poor’s Equity Research has moved the mobile maker from “strong buy” to “hold” and downgraded the target price to €8 from €9 as it feels its board has limited strategy options against competitors such as Apple’s iPhone and Google’s Android. The broker says Nokia’s operating systems lack exciting apps and it should invest less in developing the platforms.

OLD MUTUAL
Goldman Sachs rates the savings and investment group a “buy” with a 162p target price as it offers new opportunity following a strategic shift back towards insurance and is now undervalued. It offers inexpensive exposure to South Africa, has virtually no European sovereign debt exposure and the impending sale of its banking arm Nedbank should clarify its market position.

TESCO
Evolution Securities rates Tesco a “sell” as its performance is deteriorating and it is losing strategic position. The broker believes it should initiate a hefty price war when new chief executive Philip Clarke takes over, to reposition itself in the market and end the current store expansion drive in the sector. Tesco is likely to win a price war and should be the first mover, it says.