LONDON (ShareCast) - Support services group Capita was on better form Monday after UBS upgraded the shares to 'buy' from 'neutral' following the recent tumble in the firm’s share price.
The Swiss broker, which kept its 800p price target on the shares, said it would be surprised if there was an absence of contract wins before the full year results announcement.
Lasst month, the group lost the right to keep running London’s congestion charge scheme from 2009 after Transport for London (TfL) awarded the contract to computer giant IBM.
AstraZeneca slipped today on news that Dresdner Kleinwort has lowered the drug major to 'sell' from 'reduce', although the price target stays at 2,000p.
The German broker called the stock "expensive not defensive" and recommended investors steer clear of the near-term risk regarding patents and thin drug pipeline.
Water group and bid target Kelda lost its early advantage, but Lehman Brothers lifted the shares to 'equal-weight' from 'underweight' with price target hiked to 1,100p from 900p.
Last Thursday, Kelda rallied after receiving an approach worth 1,100.65p a share plus any interim dividend from a consortium made up of Citigroup Alternative Investments, GIC Special Investments, Infracapital Partners and HSBC.
In addition, the broker upped United Utilities to 'equal weight' from 'underweight' following Friday’s £1.78b sale of the firm’s electricity distribution business Norweb to North West Electricity Networks.
National Grid also benefited from a generous Lehman, with its rating improved to 'overweight' from 'equal-weight' with target of 900p, up from 810p before.
