Broker Tips
Broker tips: Direct Line, Micro Focus, Rio Tinto
Deutsche Bank downgraded its stance on Direct Line to 'hold' from 'buy' on Wednesday and cut the price target to 370p from 390p as it reduced its earnings estimates on the back of higher-than-expected claims inflation, resulting in greater compression in margins.
Next could become 'online marketplace of choice', says HSBC
Next is "well placed" to manage the retail sector's structural shift to online and with strong cash flow driving share buybacks, HSBC upgraded its rating on the stock to 'buy' on Wednesday.
Deutsche Bank downgrades Direct Line as claims inflation rises
Deutsche Bank downgraded its stance on Direct Line to 'hold' from 'buy' on Wednesday and cut the price target to 370p from 390p as it reduced its earnings estimates on the back of higher-than-expected claims inflation, resulting in greater compression in margins.
Liberum downgrades Rio Tinto as steel and iron ore prices falter
Iron ore indicators are looking "shaky" and steel prices are faltering, said Liberum, as it downgraded Rio Tinto to 'sell' from 'hold' and cut the price target to 3,350p from 3,600p.
Wednesday broker round-up
Rotork: Credit Suisse downgrades to underperform with a target price of 300p.
Micro Focus rallies on Goldman upgrade
Micro Focus got a boost on Wednesday as Goldman Sachs upped the stock to 'buy' from 'neutral' and lifted the price target to 1,700p from 1,300p as it said the risk/reward is now skewed to the upside.