Broker comments in the UK today. Compiled by Dow Jones Newswires Markets Desk, markets.eu@dowjones.com Contact us in London. +44-20-7842-9464 Markettalk.eu@dowjones.com 0628 GMT [Dow Jones] PartyGaming's (PRTY.LN) trading update for the second quarter is better than expected, Numis Securities analyst Wyn Ellis says. Adds the group's statement that it is committed to play an active role in sector consolidation will go down well with investors. Has a buy rating and 400p target price. Shares closed Monday at 221p. (simon.zekaria@dowjones.com) 0627 GMT [Dow Jones] UBS upgrades Debenhams (DEB.LN) to buy from neutral, but nudges down its price target to 75p from 77p. Says the company looks cheap on all metrics following a 20% underperformance of the UK retail sector in the last three months. Expects the management to increase focus on delivering market share gains and positive like-for-like sales growth. "The upcoming refinancing and expected reinstatement of a dividend in FY '11 should convince investors of the longer-term investment case." Shares closed Monday at 57p. (michele.maatouk@dowjones.com) 0626 GMT [Dow Jones] Persimmon (PSN.LN) reports very positive numbers ahead of the first half so shares are likely to rise after the statement, says Liberum Capital analyst. Says the company already sold GBP1.5 billion worth of homes for the year, which is really good news and that margins are also ahead of expectations. Adds that borrowings are also lower than expected. Has hold rating. Shares closed Monday at 348p. (anita.likus@dowjones.com) 0625 GMT [Dow Jones] UBS upgrades GKN (GKN.LN) to buy from neutral. Says the recent decline in its share price offers a good opportunity to buy the stock again. "Although our investment case and profit forecasts are unchanged, we believe the lower valuation now offers an attractive risk-reward profile for investors," it says. Says GKN is a well-run business with leading technologies, strong market positions and several opportunities. "In addition, we see some further upside risk to profits. Our only major concern remains a low cash conversion, largely as a result of pension payments," adds UBS. Maintains 140p target price. Shares closed at 112p. (ishaq.siddiqi@dowjones.com) 0623 GMT [Dow Jones] Investec Securities upgrades AB Foods (ABF.LN) to buy from hold and raises target to 1080p from 1060p as it takes a more positive view of Primark's valuation ahead of the company's 3Q results on July 8. Increasingly sees Primark as a winning proposition and thinks profit growth at a rate of 12% to 14% per annum is sustainable on a five-year view. Says this merits a premium rating. Thinks the market's valuation on Primark of 7-8x Ebitda/15-16x PER is too low, and reckons 8-9x ebitda is more appropriate. Shares closed Monday at 947p. (michele.maatouk@dowjones.com) Contact us in London. +44-20-7842-9288 Markettalk.eu@dowjones.com (END) Dow Jones Newswires July 06, 2010 02:28 ET (06:28 GMT)