Broker Spotlight – BT, Sainsbury's, Cairn Energy, Vedanta, Sierra Rutile, Nanobiotix...

BT’s (LON:BT.A) new sport pricing for UEFA football was much as expected said Jefferies. By integrating sport more tightly with entertainment packs, the broker hopes BT can stimulate TV into a much-needed new driver of revenue growth. Reinforcing Pay TV credentials may also stimulate a more balanced discussion with Ofcom. Buy with a price target of 515p, it said. Sainsbury’s (LON:SBRY) is appealing for calm in its latest trading update, suggests espirito santo. All three listed grocers are losing market share with negative like-for-likes despite heavily investing in price. Sainsbury has the most to lose from a prolonged price war, so inflation is crucial to continue to maintain profitability in this market. Neutral is the rating with a 249p target price. Online fashion retailer boohoo.com (LON:BOO) is getting its act together suggests Peel Hunt. After a poor end to 2014, prices were sharpened, marketing spend lifted and sales have responded accordingly, delivering 35% growth over the first quarter. Management points to tougher comparatives ahead and rightly feels it is too early to lift guidance, but there is potential for healthy upgrades says the broker, which has raised its profit expectations by £1.1mln (7%) to £16.8mln. Oil exploration and production firm Cairn Energy (LON:CNE) has been upgraded by Citigroup to ‘buy’ from ‘neutral’. Cairn, its stake in Cairn India and the associated tax dispute with the Indian authorities are among the notable potential obstacles to a rumoured merger of Cairn India and Vedanta (LON:VED), according to JP Morgan Cazenove. JPMC suspended its ratings for Vedanta, and it bonds, following reports that the proposed merger plan was in the advanced stages of negotiation.. Jefferies retains a ‘buy’ for First Quantum (LON:FQM), though its price target reduces to 1200p from 1250p following a recent issue of new equity. Cash raised does, however, provide financial capacity to invest during the current ‘weak point in the cycle’, says analyst Christopher LaFemina. Elsewhere, UK house builder Taylor Wimpey (LON:TW.) is downgraded to ‘sell’ from ‘neutral’ by Citi. Food wholesaler Booker Group (LON:BOK) sees its price target raised to 174p from 160p by JP Morgan, which repeats an ‘overweight’ rating. Credit Suisse keeps Saga (LON:SAGA) at ‘neutral’ though the price target is raised to 215p from 185p. Nanobiotix (EPA:NANO) has reported positive, preliminary data from a phase I/II trial of NBTXR3 in treating Head and Neck cancer. The initial report from the study confirms that treatment with NBTXR3 is feasible in this indication with a good safety profile. Importantly, the results to date will allow the targeted population for the trial to be enlarged to include those receiving chemotherapy and radiotherapy. Stifel has a€25.5 target price on the Euronext listed group based on a risk-adjusted sum-of-the-parts valuation. Investec likes Sierra Rutile (LON:SRX) after the results from the Sembehun dry mine study, with the 74,000 tpa rutile project delivering an IRR of 39% (company numbers). While a longer-dated project, it bears testament to the depth of the company’s development opportunities and the ability to incrementally increase production in staged phases. Buy with a 38p target.