Broker snap : BT 'firing on all cylinders', strong buy

Broker Hargreaves Lansdown said BT was 'firing on all cylinders' after the telecoms company forecast annual earnings at the top end of expectations.The broker's Richard Hunter said broadband demand, a strong performance outside the UK and BT's new sport channels had combined to produce "an impressive trinity of growth" in revenue, earnings per share and profit.Hunter said restructuring costs were weighing on BT, its pension deficit had slightly increased and the dividend yield of 2.3% was not particularly punchy.However, he added: "BT is a company firing on all cylinders, with extra propulsion coming in the form of its high profile entry into the TV sporting arena."The shares have risen some 48% over the last year, as compared to a 3% rise in the wider FTSE 100, whilst the general view of the shares as a strong buy is unlikely to be disturbed following these numbers."PW