Best of the Brokers

BSKYB
Peel Hunt rates the broadcasting group “hold” with a target of 845p ahead of first half results due on Thursday. The broker expects BSkyB to report 3.4 per cent revenue growth to £3.45bn and flat operating profit of £577m as a result of higher programming costs. Longer term, Peel Hunt has concerns about growing competition from the likes of BT in the paid TV market.

BRITISH LAND
Morgan Stanley rates the property firm “overweight” and has a price target of 570p. The broker expects British Land to post steady net asset value when it updates the market tomorrow, leaving it well placed for an expected rise in high-quality real estate prices this year. Morgan Stanley remains bullish even after a two-month spell of outperformance that has left the stock close to the broker’s target.

NATIONAL GRID
Liberum has cut the power group from “buy” to “hold”, maintaining its target price at 730p. The broker sees the stock’s value as undemanding yet unexciting, expecting it to deliver nine per cent annual return over the rest of the decade. Once regulator Ofgem reveals its latest direction within the month, National Grid shareholders will have eight years of clarity over 60 per cent of the firm’s assets.