Canaccord Adams changed its recommendation on Lonmin to a “sell” – from being under review and a “hold” prior to that – and increased the target price to 1,050p. The broker said that the share price is being driven by the potential for Xstrata to bid for the remainder of Lonmin, and argues that the premium built into the price removes most of the upside.
Investec said that Mouchel has now worked through most of the challenges which caused the surprise profit warning earlier in the year. The group is also confident about its long-term prospects, with strong evidence of its services still being in demand. The broker retained its “sell” view on the firm’s stock, with a 190p target price.
Jefferies International increased its price target for Man Group to 300p, from 247p, but retained its “hold” rating, saying the company is in “bullish overdrive”. The broker said that the firm is usually a “glass half full company” but its outlook for the second half of the year is bullish even by Man’s standards. It said that the stock does not look particularly cheap.