Broker tips: Gold equities, SuperGroup, N Brown

10th Oct 2012 11:21

Nomura has retained its 'bullish' rating for the European gold sector, saying that there's potential for further outperformance in spite of the strong showing as of late.Nomura has highlighted Petropavlovsk, Centamin and Polymetal as its sector 'likes' going into the third-quarter results. All three are marked as 'buys'. The broker has increased its target price for Centamin to 145p from 130p, Polymetal to 1,425p from 1,340p, and Petropavlovsk to 760p from 735p. As for Randgold Resources, the broker has raised its target price to 7,400p to from 6,815p but maintained its 'reduce' rating, saying that the stock is "fully priced (for now)".Seymour Pierce continues to think that fashion retailer SuperGroup is oversold, maintaining its 'buy' rating and 750p target price for the stock on Wednesday morning."The new management has 'steadied the ship'. With confidence returning, we believe the stock is oversold at 12.9 times FY13 earnings, considering the operational gearing in the earnings and possible step up in the growth rate," the broker said.Panmure Gordon has downgraded its rating for internet and catalogue home shopping firm N Brown from 'buy' to 'hold', saying that shares are likely to hold ground in the near-term."We move to a 'hold' rating from 'buy', following sector outperformance and consequent multiple expansion towards our target multiple on the back of the July trading statement. "We think that the shares are now likely to tread water until strategic decisions such as the identification of a new CEO are taken," the broker said.BC