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Pin to quick picksKingfisher Share News (KGF)

Share Price Information for Kingfisher (KGF)

London Stock Exchange
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Share Price: 271.40
Bid: 271.20
Ask: 271.40
Change: 1.00 (0.37%)
Spread: 0.20 (0.074%)
Open: 272.20
High: 273.50
Low: 270.90
Prev. Close: 270.40
KGF Live PriceLast checked at -

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Broker tips: Schroders, Kingfisher, Royal Mail, Thomas Cook

Fri, 06th Mar 2015 11:44

Surging flows into funds at Schroders support the asset manager's premium rating to the sector, according to Berenberg, which hiked its target price for the stock on Friday."Schroders is a best-in-class asset/wealth manager with strongly performing funds and global reach," Berenberg said. The broker raised its target from 2,900p to 3,340p and maintained a 'buy' recommendation for investors following "another excellent set of results".Kingfisher's shares flapped lower on Friday despite analysts at Citigroup raising their price target from 310p to 370p, as the US bank said the DIY retailer's upcoming strategy update is "likely to disappoint".The broker, which kept a 'neutral' recommendation, said: "While some investors may be hoping for the new chief executive to announce a broad space closure programme for B&Q at the results on 31 March, management comments at the first-half results and Kingfisher's cautious approach to date leave us unconvinced that this is imminent."Credit Suisse has trimmed its target price for Royal Mail from 380p to 370p and reiterated an 'underperform' rating, saying that risks are increasing this year for the postal delivery group.In 2015, competition is set to rise with the UK rollout of Whistl, while political risk will grow ahead of the elections in May. Meanwhile, free cash flow yields are "deteriorating", falling from peak yields of 9.4% in the year ended March 2014 to an estimated 6.7% in the year to March 2016. This "represent[s] a fundamentally less attractive offer", Credit Suisse said.After Thomas Cook confirmed that Fosun International, the Chinese conglomerate that recently snapped up Club Med, has invested £92m in newly issued shares for a 5% stake in the UK travel group, Shore Capital maintained its 'hold' stance but hailed the "exciting" potential.The travel group has formed a strategic partnership to accelerate Thomas Cook's existing growth strategy through better access into China and closer co-operation with France's Club Med.The cash proceeds of the investment will be used to be used by Thomas Cook to accelerate strategic investment and reduce leverage, with the company saying its expects the investment to be earnings accretive in 2016, which analysts at Shore Capital suggested at least £10m of additional profit. "Today's announcement might increase investor confidence in Cook's ability to stabilise underlying trading. However, we are likely to need further evidence of an improving trading backdrop before turning more positive," ShoreCap said.
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