Broker Upgrades and Downgrades & Key UK Corporate Snapshots 22 December 2015

UK Broker Upgrades / Downgrades

 

 

Code Company Broker Recomm. From Recomm. To Price From Price To
Upgrades
TTG TT electronics Plc Berenberg Hold Hold 130 150
Downgrades
ELM Elementis Plc Berenberg Buy Buy 274 258
Initiate/Neutral/Unchanged
LMI Lonmin Plc Citigroup Neutral Neutral

 

US Broker Upgrades / Downgrades

 

 

Code Company Broker Recomm. From Recomm. To Price From Price To
Upgrades
AEGR Aegerion Pharmaceuticals Guggenheim Sell Buy
ARQL ArQule RBC Capital Markets Sector Perform Outperform $4 $5
AVGO Avago Technologies RBC Capital Markets Outperform Top Pick $155 $170
BBCN BBCN Bancorp Keefe, Bruyette & Woods Market Perform Outperform
CVX Chevron Macquarie Neutral Outperform
CIEN Ciena Jefferies Hold Buy
DHXM DHX Media Credit Suisse Neutral Outperform
ESALY Eisai Goldman Sachs Sell Neutral
EEP Enbridge Energy Partners Credit Suisse Neutral Outperform
FARO FARO Technologies Needham Hold Buy $37 $37
FET Forum Energy Technologies Credit Suisse Neutral Outperform
GD General Dynamics Drexel Hamilton Hold Buy
JOY Joy Global FBR Capital Underperform Market Perform $14 $10
NBR Nabors Industries Credit Suisse Neutral Outperform
SPN Superior Energy Services Credit Suisse Neutral Outperform
TCP TC Pipelines BofA Merrill Lynch Neutral Buy
TIF Tiffany & Co Jefferies Hold Buy $100 $100
TUWLF Tullow Oil RBC Capital Markets Sector Perform Outperform
WAB Wabtec Stifel Hold Buy $88 $88
WIBC Wilshire Bancorp Keefe, Bruyette & Woods Market Perform Outperform
Downgrades
DDR DDR CapitalOne Overweight Equal weight
ENLC EnLink Midstream BofA Merrill Lynch Buy Neutral
PAA Plains All American Pipeline Oppenheimer Outperform Perform
NGLS Targa Resources Partners Credit Suisse Outperform Underperform $49 $22
TK Teekay Raymond James Strong Buy Market Perform
VER VEREIT CapitalOne Overweight Equal weight
Initiated
BOKF BOK Financial Wells Fargo Market Perform
CJES C&J Energy Services Credit Suisse Neutral
GLOB Globant Sun Trust Rbsn Humphrey Buy
GHL Greenhill Buckingham Research Neutral
MC Moelis Buckingham Research Neutral
ORBK Orbotech JP Morgan Overweight
PACW PacWest Bancorp Wells Fargo Outperform
RAX Rackspace Hosting Goldman Sachs Neutral $27
RES RPC Credit Suisse Neutral
SNV Synovus Financial Wells Fargo Market Perform
SLCA US Silica Holdings Credit Suisse Outperform
UE Urban Edge Properties CapitalOne Equal weight
WBC WABCO Holdings Susquehanna Neutral $68
YELP Yelp Guggenheim Neutral

 

Key UK Corporate Snapshots Today

21st Century Technology Plc (C21.L) Announced that it has successfully secured a contract for the supply of state of the art CCTV technology to a leading UK rail operator’s fleet of trains. This is a new customer for the company having previously supplied Forward Facing CCTV (FFCCTV) and in-carriage CCTV products and services to other UK Rail operators since 2013. The £0.4 million contract is an urgent operational requirement and, subject to vehicle availability, is due to complete during H1 2016.

Arria NLG Plc (NLG.L) Announced a new framework agreement for configuration, deployment and licensing of multiple NLG applications with Genpact where Arria NLG will supply its natural language generation and other artificial intelligence technologies to Genpact to provide real-time advanced data analysis and commentary while automating credit reporting and financial planning and analysis for Genpact’s customers. These added technologies will allow customers in the banking and financial services industry to significantly enhance their operations by improving existing automation systems for numerous complex business reporting processes. Through this framework agreement, Genpact and Arria NLG make financial reporting operations more intelligent, able to execute faster and more accurately, and to learn and adapt over time. Genpact and Arria NLG will combine process improvement with artificial intelligence and automation tools to transform the speed of reporting while increasing the consistency and quality of data. Arria NLG joins Genpact’s Lean Digital incubation program, a unique Silicon Valley-based partner ecosystem that combines the power of new disruptive technologies with Genpact’s deep industry domain and hands-on process expertise, while leveraging the global reach of one of the largest real-world business processing environments.

Bahamas Petroleum Company Plc (BPC.L) Announced that the Petroleum Bill and associated Regulations, as well as a Sovereign Wealth Bill, have been passed by a majority of members of the Bahamian House of Assembly. The Bills will now be sent to the Bahamian Senate and following successful passage the Governor General will receive the Bills for assent into law; after which they will be known as the Petroleum Act and the Sovereign Wealth Fund Act.

BHP Billiton Plc (BLT.L) Announced an update following the breach of the Fundao tailings dam and Santarem water dam at the Samarco Mineracao S.A (Samarco) iron ore operation in Minas Gerais, Brazil which occurred on 5 November 2015. BHP Billiton and Vale each hold a 50% interest in Samarco. Samarco continues to work with the government authorities in Brazil to relocate displaced people from temporary accommodation to rented housing and to distribute living wage debit cards to those who have been impacted. All displaced people will have been given the opportunity to relocate before 25 December 2015. Processing and mining operations at Samarco remain suspended. BHP Billiton’s News Release 29/15 of 30 November 2015 referred to the proceedings proposed to be commenced by the Federal and certain State governments against Samarco, Vale and BHP Billiton Brazil for clean-up costs and damages. The action demanded that the companies establish a fund of BRL 20 billion ($5.2 billion at current exchange rates) in aggregate. The plaintiffs also requested certain interim injunctions. (BHP Billiton Brazil has not yet received formal notice of these proceedings.) In connection with these proceedings, on 18 December 2015 the 12th Federal Court of Belo Horizonte handed down a decision on the interim injunctions requested. On 15 December 2015, the Brazilian Geological Service (CPRM) and National Water Agency (ANA) issued a second report in relation to additional sampling and analyses of the water quality of the Rio Doce. The report supports earlier assessments that the tailings material is non-toxic. BHP Billiton has appointed Flavio Bulcao as Country Director, Brazil, effective immediately. Mr Bulcao will represent the BHP Billiton team in Brazil, joining the project support team based in Belo Horizonte, Brazil. Vale, BHP Billiton and Samarco have jointly engaged New York-based law firm Cleary Gottlieb Steen & Hamilton LLP to conduct the external investigation into the cause of the breach of the Fundao tailings dam and the Santarem water dam.

BowLeven Plc (BLVN.L) Announced, in its testing update at its Bomono Permit in Cameroon, that the Zingana well has started flowing hydrocarbons after installing the testing equipment. The extended well testing programme at Zingana has been planned to determine the productivity and connectivity of the shallower reservoir units intended to provide the basis for the initial supply of gas under a gas-to-power development scheme.

Concha Plc (CHA.L) Announced, in its audited final results for the year ended 30 June 2015, that revenue stood at £0.015 million, compared to £0.014 million in the same period last year. Operating loss and loss after tax stood at £0.63 million, compared to £1.19 million. It has been able to further strengthen its balance sheet via the issue of 100 million new shares at 4.0p per share for a cash consideration of £4 million. The Board has also concluded a settlement in connection with Concha’s former legal advisors in respect of the losses suffered as a result of their failure to register a valid security interest in the assets of one of the Company’s former investee companies. The Company’s 30% stake in The Works, The Complete Design Facility Limited (“Works”) continues to represent the Company’s only investee company. In September 2014, Peter Read was appointed to the Board, an individual who over the course of the last twelve months has made a significant contribution to the leadership and direction of negotiations with potential investee companies. In June of this year, Gordon Watson, Concha’s Asian based non-executive director stepped down from Concha’s Board to join a target investee company.

Hansteen Holdings Plc (HSTN.L) Announced that it has acquired a further 31.6 million units in the Ashtenne Industrial Fund (“AIF”) from Britel Fund Trustees Limited for £15.4 million cash, reflecting a price per unit of 0.4869p. The price represents an effective 5% discount to Hansteen’s carrying value for the Fund as at 30 June 2015. This acquisition represents 5.3% of the units and increases Hansteen’s holding in AIF to 81.8%. The company also announced that AIF has sold 10 properties in individual transactions for a combined £20 million. The properties sold total more than 430,000 sq ft and produce a total annual passing rent roll of £1.0 million.

Koovs Plc (KOOV.L) Announced, in its interim results for six months ended 30 September 2015, that revenues climbed to £2.0 million from £0.808 million posted in the same period preceding year. The company’s loss before tax stood at £5.7 million, compared to a loss of £3.6 million reported in the previous year. The basic and diluted loss per share stood at 14.5p compared to loss of 11.8p reported in the previous year. The company’s cash and cash equivalents stood at £0.570 million (2014: £6.3 million).

Legendary Investments Plc (LEG.L) Announced, in its unaudited interim results for the six months ended 30 September 2015, that operating profit stood at £2.38 million, compared to a loss of £0.23 million in the same period last year. Profit after tax was £2.37 million, compared to a loss of £0.23 million. Diluted earnings per share stood at 0.07p, compared to a loss of 0.01p.

MBL Group Plc (MUBL.L) Announced, in its interim results for the six months ended 30 September 2015, that revenue stood at £6.65 million, compared to £5.85 million in the same period last year. Operating loss stood at £0.05 million, compared to a loss of £0.38 million. Loss after tax was £0.04 million, compared to a loss of £0.38 million. Basic and diluted loss per share stood at 0.2p, compared to a loss of 3.0p.

Mortice Limited (MORT.L) Announced, in its half yearly results for six months ended 30 September 2015, that revenues rose to $51.2 million from $42.9 million posted in the same period preceding year. The company’s profit before tax stood at $0.313 million, compared to a profit of $1.3 million reported in the previous year. The basic and diluted loss per share stood at 0.0c compared to earnings of 0.02c reported in the previous year. The company’s cash and cash equivalents stood at $1.9 million (2014: $0.763 million).

Provexis Plc (PXS.L) Announced, in its interim results for the six months ended 30 September 2015, that revenues rose to £40,908 from £8,261 recorded in the same period a year ago. Loss after tax widened to £222,407 from £206,042.

RapidCloud International Plc (RCI.L) Announced, in its trading update for the 12-month period to 31 December 2015, that the company now expects revenues to be similar to the revenues achieved by the company in the financial year ended 31 December 2014. This is below market expectations. Anticipated growth in revenue was curtailed by a number of factors. During the course of the year, the company has invested in both its products and also its infrastructure to support its anticipated growth. These projects have inevitably had an associated cost and this, combined with a lower than expected level of revenue in the course of the year, will mean that profits will be materially lower than both market expectations and the levels of profitability achieved in the financial year ended 31 December 2014. Balance sheet remains strong with net cash, as of 30 November 2015, of RM8.6 million. The company is encouraged by new tendering opportunities which it is being invited to participate in, particularly of a larger scale. Furthermore, the company has also received positive feedback for its new product developments and expect these to contribute to growth in the business in 2016.

Renewable Energy Generation Ltd (WIND.L) Announced that it has completed the sale of its entire business and the delisting will be effective from 5 January 2016.

Sable Mining Africa Limited (SBLM.L) Announced, in its interim results for the six months ended 30 September 2015, that operating loss stood at $1.27 million, compared to $3.3 million. Loss after tax was $9.2 million, compared $3.3 million. Basic and diluted loss per share stood at 0.8c, compared to 0.3c. It signed an important Memorandum of Understanding with CITIC Construction Co., Ltd relating to the development of a coal fired power plant at the Lubu coal project and finalised certain key technical studies relating to its Nimba project. The Board believes that the development of a coal-fired power station in Zimbabwe would be a major step forward in tackling this crisis and one which would receive governmental support. The challenging market conditions currently facing the resource industry have meant that the Board has had to review and refine its development strategies during the period under review, including implementation of a cost reduction programme and reduction of capital outlays to ensure funds are effectively and strategically utilized.

SABMiller Plc (SAB.L) Announced that Anheuser-Busch InBev SA/NV (AB InBev) has filed with the Securities and Exchange Commission (SEC) the consolidated financial statements of the SABMiller plc group as of 31 March 2015 and 2014 and for the three years ended 31 March 2015, as required by Rule 3-05 of SEC Regulation S-X (Rule 3-05). In addition, AB InBev has filed with the SEC the condensed consolidated financial statements as of 30 September 2015 and for the six month periods ended 30 September 2015 and 30 September 2014. Other than different comparative periods, there are no differences between the financial information contained in the consolidated financial statements prepared in accordance with IFRS and those prepared in accordance with IFRS as adopted by the European Union. The AB InBev pro forma financial information has been prepared by, and is the responsibility of, AB InBev and accordingly neither SABMiller nor any of its affiliates, nor any of their respective directors, officers or employees, accepts any liability or responsibility for the AB InBev pro forma financial information.

Trinity Exploration & Production Plc (TRIN.L) Announced that the company has agreed a further extension to the moratorium on principal repayments, relating to Trinity’s outstanding debt balance of $13.0 million with its lender, until the 31st of December 2015. Discussions are ongoing with the lender to secure a further extension of its credit facilities and management expect for there to be continued support, particularly following the announcement of the sale of substantially all of Trinity’s onshore assets for $20.8 million.

West African Minerals Corporation (WAFM.L) Announced, in its interim results for six months ended 30 September 2015, that loss before tax stood at £0.408 million, compared to a loss of £0.670 million reported in the previous year. The basic and diluted loss per share stood at 0.0011p compared to loss of 0.0018p reported in the previous year. The company’s board has not proposed any dividend for the period. The company’s cash and cash equivalents stood at £3.9 million (31 March 2015: £4.4 million).

Click to view all articles for the EPIC: , ,
Or click to view the full company profile:
    Facebook
    Twitter
    LinkedIn

    More articles like this