C&C PLC (LON:CCR) was one of the main beneficiaries of a re-evaluation by Barclays Capital of the beverage sector in the wake of the coronavirus outbreak.
While the bank cut back its valuation to 170p from 310p, it raised its recommendation to ‘equal-weight’ from ‘underweight’ on the Irish maker of Magners and Bulmers cider.
“Given the market movements amid COVID-19 uncertainty, we felt it was imperative to revalue our companies and update forecasts and price target with our assumptions,” Barclays said in a note to clients.
“To date, we had factored in the effects in China and Asia travel retail, but here we update for the effects in Europe and the US, making assumptions for sales reductions based on current country status.”
In morning trade, the shares were changing hands for 149.2p each, down 5%.