Stocks on the rise 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 0739 GMT [Dow Jones] PartyGaming's (PRTY.LN) potential consolidation in the sector could "transform" the company's financial performance, Liberum Capital analyst Richard Taylor says. "The company admit that talks over a potential (tie-up) have taken longer than expected, but that they remain in talks. We retain our view that this could potentially transform earnings given the duplication of costs within online gambling companies," he says. Taylor says the company's second-quarter performance is better-than-expected, although it may lead to small full-year earnings consensus downgrades. Has a buy rating. Shares +3.6% at 229p. (simon.zekaria@dowjones.com) 0720 GMT [Dow Jones] Tullow Oil's (TLW.LN) Owo-2 well currently drilling offshore Ghana will be the next big catalyst for the company, says NCB Stockbrokers analyst Peter Hutton. "Potential from the Owo-1 prospect west of Tweneboa will make or break [Tullow's] upside guidance of 1.4 billion barrels of oil equivalent," he says. The result could be announced within two weeks, he adds. Gives accumulate rating, 1260p target. Shares +3% at 1072p. (james.herron@dowjones.com) 0717 GMT [Dow Jones] JPMorgan Cazenove initiates Hikma Pharmaceuticals (HIK.LN) at overweight with 870p target, citing leading long-term growth and the potential for a near-term EPS beat. Notes Hikma's competitive advantages as the top local player in the Middle East & North Africa pharmaceutical market, which has shown sustainable growth of 14% per year between '05 and '09, well above 5%-7% global pharma market growth. JPM expects a substantial earnings beat in the company's H1'10 results and upgrades to '10 EPS, based on strong US generics sales. Shares +1.1% at 696p. (michele.maatouk@dowjones.com) 0701 GMT [Dow Jones] Seymour Pierce remains cautious on Punch Taverns (PUB.LN). In tone, the trading update is more positive than in the last 2 years, it says. However, "we do not believe that the underlying long-term trend has moved into the growth momentum that the business needs to provide sustainable growth in value for equity holders." Says debt remains a key concern. Rates at sell. Shares +2.2% at 66p. (michael.carolan@dowjones.com) Contact us in London. +44-20-7842-9288 Markettalk.eu@dowjones.com (END) Dow Jones Newswires July 06, 2010 03:39 ET (07:39 GMT)