UK Market Talk Roundup: Brokers Comments

Broker comments in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com 

        1108 GMT Czech Volkswagen's unit Skoda Auto says it has upgraded its current model range to meet the latest European Union's emission standards as the car maker strives to boost annual sales to 1.5 million vehicles a year by 2018. Skoda Auto currently makes just above 1 million autos. The company is also planning to launch the new generation of its flagship sedan later this year and a yet-to-be-named larger sports utility vehicle as early as next year. Skoda Auto, the country's largest exporter and employer, is a bellwether of the Czech economy.(leos.rousek@wsj.com, @LeoRousek)
        1029 GMT [Dow Jones]--Numis Securities is lowering its profit target for Whitbread PLC (WTB.LN) to reflect the hotel and restaurant group's new growth plan. The owner of hotel chain Premier Inn and Costa coffee-shop brand posted fiscal 2015 earnings growth and has set new 5-year investment and sales milestone targets. Numis has cut FY16 PBT forecast by 2% to GBP550M to reflect additional investment, a slightly subdued start to year, and the fact that 80% of the Premier Inn room openings in FY16 are expected to be in the second half of the year. The brokerage has an add recommendation and a target price of GBP56.00. Shares down 1.7% at GBP53.50. (razak.baba@wsj.com; Twitter: @Raztweet)
        0936 GMT Deutsche Bank says after the expected 1Q good results at Italian banks, the sector needs to reduce its non-performing loans stock and see the impact of the macro revamp and quantitative easing on lending and asset quality. Sees net interest income down quarter on quarter--down 3% on average--due to government bond sales, which will support trading income instead. Fees will be slightly down QoQ but only due to seasonality, and they will be up by around 4% YoY. Loan-loss provisions will decline QoQ, reflecting the typical 1Q1 trends, but also thanks to the slower underlying asset quality deterioration. Italian banks will report 1Q results starting May 8.(giovanni.legorano@wsj.com; @glegorano)
        0901 GMT [Dow Jones]--Panmure Gordon places its forecasts, recommendation and target price on Nektan (NKTN.LN) under review pending the outcome of a General Meeting to be held on May 20. In order to satisfy additional demand from new institutional and private investors, the meeting will be held to increase the authority to issue shares for up to an aggregate nominal value equal to 10% of the share capital of the company. This morning Nektan announced a new financing package totaling GBP7.1M. Shares +0.9% at 169p. (jana.simmons@wsj.com)
        0856 GMT [Dow Jones]--Numis places its rating and target price on Allied Minds (ALM.LN) under review ahead of today's Capital Market Day. Allied Minds reported its maiden results this morning, with revenue of $7.7M and a net loss of $46M. The company also announced that Mark Pritchard will be stepping down as executive chairman, with Peter Dolan, ex-CEO and chairman of Bristol-Myers Squibb, to be appointed non-executive chairman. Shares -3% at 677p. (jana.simmons@wsj.com)
        0853 GMT [Dow Jones]--Numis nudges up its target price on Dechra Pharmaceuticals (DPH.LN) by 3% to 978p to reflect improving peer group comparators after a strong update from Dechra with sales on track to meet full year expectations. "We continue to believe that Dechra maintains significant flexibility for capital deployment although we expect the company to remain disciplined on the price of any potential M&A bolt-ons." The broker maintains its hold stance. Shares -0.9% at 1,013 pence. (jana.simmons@wsj.com)
        0833 GMT [Dow Jones]--London's FTSE 100 is 0.7% lower in early trade at 7053, having closed at a fresh all-time high in the previous session. Healthcare stocks are suffering the most, with Shire down close to 2%, followed by AstraZeneca down 1.9%, following weakness in this sector in the U.S. yesterday. Whitbread is also comfortably in the red, down 1.6%, on news the hotel, coffee shop and restaurant company's CEO is to retire. At the other end of the spectrum, Coca-Cola HBC is the biggest gainer, up 1.4%, followed by BP, up 1.3%. (josie.cox@wsj.com)
        (END) Dow Jones Newswires

        April 28, 2015 07:08 ET (11:08 GMT)

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