JP Morgan downgrades the oil services group to neutral with a target price of 1,699p, despite seeing good potential for a margin upside to balance any shortfall in revenue from its order intake and project progress. The broker says the $8bn (£5.14bn) of orders it has estimated as necessary to meet consensus forecasts for next year now look aggressive, and so sees a risk of valuation compression in the stock over the next few months.

Citigroup rates the Spanish bank as “sell/high risk” but increases its target price from €3 to €3.40 after its quarterly profits last week. Though net profit of €34m was three per cent below consensus and down 27 per cent quarter-on-quarter, the company delivered on its full-year target of growing profits by 20 per cent over 2011. The broker updates its estimates to account for higher specific provisions, higher net interest income and other costs.

Morgan Stanley downgrades the French cosmetics group to “equal-weight” with a target price of €87 (£72), seeing an acceleration in earnings growth at the company as unlikely over the coming year. The broker says L’Oreal faces another year of modest top- and bottom-line growth with tough markets and high investment. Though it sees the valuation as attractive versus its peers, Morgan Stanley sees few catalysts to re-rate the stock.