Shares in S4 Capital PLC (LSE:SFOR), Martin Sorrell's digital advertising group, jumped 18% following a trading update that wasn't quite as bad as first feared.
Liberum encapsulated the relief when it said the declines have stabilised for the business, which has been hard hit by a decline in spending by the tech sector.
"Whilst pockets of recovery are beginning to emerge, due to [S4's] high gross profit exposure to the technology vertical (43% of net revenues), we see it as likely to lag growth recovery at other agencies near-term," the broker said in a note.
"Market recovery seems more localised to areas such as fast-moving consumer goods, pharma and healthcare, which make up 15%-20% of [S4's} net revenues we estimate.
"Longer-term however we continue to the potential for [the company] to move back to organic outperformance as the key technology segment recovers."
Liberum repeated its 'buy' recommendation while increasing its share price target to 85p from 80p.
Peel Hunt, which says 'hold', is less enamoured with S4's prospects. "We believe that further signs of improving trends are needed for the shares to re-rate," it said as it stuck with its 45p a share valuation.
In late morning trading S4 shares were changing hands for 54.76p, up 8.52p.