STOCKS NEWS UK-Nestor gains after getting refinancing

STOCKS NEWS Reuters



Results diary

Europe Real-time Equity News





UK Stocks on the move

UK smallcaps UK smallcaps news


11:31GMT 30Oct2009
Nestor gains after getting refinancing

Shares in Nestor Healthcare Group Plc rise 7.3 percent after the healthcare staffing specialist posted a positive trading update and says it has secured new debt facilities with bankers Barclays and HSBC.

'This is excellent news for Nestor, in our view, particularly the four year term which looks to be a ringing endorsement of the bank's confidence in Nestor,' says Sebastien Jantet, at Investec.

'We think the shares are looking significantly undervalued, trading at a discount to the sector and the broader market,' he adds.

The brokerage raises its price target on the stock to 65 pence from 50 pence and reiterates its 'buy' recommendation.

For more click on

Reuters messaging rm://[e-mail]


11:05GMT 30Oct2009
Elementis higher after update

Shares in Elementis gain 4.6 percent after the chemicals maker issues a third-quarter trading update, which prompts Cazenove to upgrade its recommendation on the stock to 'outperform' from 'in-line'.

Cazenove, in a note, says Elementis' update confirms that the better trends seen towards the end of the first half -- where most of the first-half operating profit was made in the second quarter -- have continued.

The broker says volumes are still down on 2008, but now growing sequentially against the previous quarter, which implies that general order patterns are beginning to stabilise, while cost reductions at the beginning of the year are benefiting operating profits as planned.

'Given the improving trends, we are now assuming better volumes, and slightly higher margins due to cost control measures,' it says, lifting its EPS estimates for 2009, 2010 and 2011 by 9 percent, 13 percent and 10 percent, respectively.

Brewin Dolphin, meanwhile, hikes its target price for Elementis to 74 pence from 70, while repeating its 'buy' rating on the stock.

For more double click on

Reuters Messaging rm://[e-mail]


10:38GMT 30Oct2009
Hirco up on rise in NAV

Shares in Hirco Plc rise 5.2 percent after the India-focused property company reports a 2.5 percent rise in net asset value (NAV) per share and an improved second half.

'Hirco's full-year results have come in ahead of expectations from an NAV perspective. The NAV is 689 pence versus our forecast of 640 pence,' Panmure Gordon analysts versus our forecast of 640 pence,' Panmure Gordon analysts Mark Hughes and Rachael Waring say in a note.

The analysts also retain their 'buy' rating on the stock and 250 pence target price, saying Hirco shares are trading at a 73 percent discount to its NAV despite having risen 245 percent from a March low: 'This is too cheap in our opinion,' they write.

Hughes and Waring also say they are likely to raise their 668 pence NAV forecast following a conference call later in the day.

For more click on

Reuters messaging rm://[e-mail]


10:06GMT 30Oct2009
Lloyds Banking up aided by broker moves

Shares in Lloyds Banking Group add 5.2 percent heading a strong banking sector as Thursday's gains following confirmation of capital raising moves are extended with help from two broker upgrades.

Britain's biggest retail bank said on Thursday it was in 'advanced discussions' with regulators to stay out of a government-backed asset protection scheme (APS) to insure bad debts.

Lloyds confirmed widely reported details of its ambitious plans -- including one of the world's largest-ever rights issues and a debt swap -- to help it avoid harsh European Union anti-trust sanctions.

Credit Suisse, in a note, ups its stance for Lloyds to 'neutral' from 'underperform' and hikes its target price to 95 pence from 55 pence reflecting a move in its valuation to a non-APS earnings basis.

The broker says the European Commission threat has worried it for a while, but notes that Lloyds said that the remedies it is planning will not have a 'material impact.'

Credit Suisse says Lloyds shares are 'far from cheap, but no longer expensive'.

Exane BNP Paribas ups its rating for Lloyds to 'neutral' from 'underperform' on valuation grounds after a sharp correction over the past 2-3 months.

However, the broker also wonders 'whether a large rump placing in December might yet trigger an attractive entry point.'

Shares in Part-nationalised Royal Bank of Scotland gain 3 percent as Lloyds' move offers reassurance on RBS's likely options.

Reuters Messaging rm://[e-mail]

COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.