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BEST OF THE BROKERS

<strong>JD WETHERSPOON<br /></strong>Investec Securities has reiterated its buy recommendation for JD Wetherspoon, noting that potential obstacles should be overcome by the company&rsquo;s strong cash generation and market share gains. The planned VAT increase is not expected to damage JD Wetherspoon, with price increases and accentuated value relative to peers predicted to compensate.<br /><strong><br />ROYAL BANK OF SCOTLAND<br /></strong>Evolution Securities expects only modest profits for Royal Bank of Scotland despite successful restructuring. With no dividends, and a placing on its way, it has reiterated its sell recommendation. Non-core divisions should still be slightly loss-making in 2011 but the core divisions should make up for that with stronger profits and renewed growth.<br /><strong><br />TESCO</strong><br />Shore Capital has issued a buy recommendation for Tesco, expecting the food retailer to report that it has weathered recent challenges and is well positioned for the future. Like-for-like sales growth in the UK is expected to have reached almost four per cent so far this year, with mixed results from Europe and a strong showing from Asia.