Deutsche Bank has switched on to property portal Zoopla Property Group PLC (LON:ZPLAZ), and raised its target price to 280p from 26op, saying the timing of its acquisition of the price comparison firm USwitch last year was fortuitous.
Revenues soared at Zoopla after its price comparison services propelled growth in the first half to end March, as reported this month.
As a result of the purchase, Zoopla's comparison services division performed ahead of expectations, at £57.7mln in revenues - £19m more than the property services division, where revenues fell from £42m to £38.7m year-on-year.
"Comparison Services continue to surprise to the upside and make up for disappointing growth in Property Services," said Deutsche, which rates shares a 'hold'.
The same broker repeats a 'buy' on Johnson Matthey (LON:JMAT) and pumps the target up to 3450p from 3400p after the chemical group posted results on Thursday.
The group, which makes catalytic converters for cars as well as other activities such as platinum refining and recycling, said underlying pre-tax profits in the year to March 31 fell 5% to £418.2mln. But revenue increased 7% to £10.7bn and the group boosted its dividend per share by 5% to 71.5p.
Deutsche said it had "modestly" upgraded its forecasts and with earnings momentum now slowly improving it continue to see the stock as undervalued, given the structural growth on offer.
Also in brokerland, Marks & Spencer PLC (LON:MKS) was downgraded by heavyweight broker JP Morgan Cazenove, which has gone to 'underweight' from 'neutral' and cuts the valuation on the stock to 307p from 550p.
Referring to its bid to shore up market share by dropping prices, the broker said: “This time around M&S is operating in a significantly more competitive environment, and reducing prices by only 2%.
Last week M&S chief executive Steve Rowe said he wanted to go back to basics with a focus on “stylish everyday essentials.”
The company outlined plans to simplify its ranges, reduce promotions, improve availability and increase the number of staff in its shops.
Also today Canaccord goes to ‘hold’ from ‘buy’ on PZ Cuzzons (LON:PZC).
In the junior space today, Cantor repeated a 'buy' and target price of 39p on Amerisur Resources PLC (LON:AMER), against a current price of 27.25p.
Amerisur has released a comprehensive operational update today showing strong progress across all of its South American portfolio, it said. The broker's sum-of-the-parts valuation ascribes 22p per share to core value with a further 17p to exploration upside. "With a near term step change in cash flow generation through the de-bottlenecking of its production base, underpinned by a fully funded appraisal and high impact exploration programme in Colombia, we believe Amerisur’s shares offers investors a low risk entry point in an already undervalued sector."