BEST OF THE BROKERS

FULLER, SMITH & TURNER
Numis rates the pub group “add” with a target price of 775p, up from 725p to reflect its enlarged managed pub acquisition scheme. The broker thinks Fuller will report a three per cent rise in pre-tax profits when it reports tomorrow, and believes the firm is well-placed to continue its outperformance. Numis is also impressed by the firm’s strong balance sheet and London-biased freehold estate.

BRITVIC
Nomura rates the drinks firm “buy” with a price target of 415p following the firm’s in-line fourth quarter trading statement. The broker thinks investors will focus on Britvic’s expected dividend hike and a possible rise in its pensions deficit when the firm reports its next set of results. Nomura expects the firm to deliver five per cent revenue growth in the UK and France next year.

SMITH & NEPHEW
Goldman Sachs rates the medical devices firm “buy” but has cut its target price from 775p to 740p. The broker has trimmed its growth forecasts by one per cent for the next two years, ahead of sluggish growth in US elective surgery volumes. However, Goldman remains convinced that the firm can deliver above-market growth of five per cent and strengthen its margins in the medium term.