MARKET TALK: Morgan Stanley Cuts Berkeley Group Price Target

23rd Jul 2010 10:58

0958 GMT [Dow Jones] Morgan Stanley cuts Berkeley Group (BKG.LN) target to 990p from 1000p. Says with prospects of a double-dip in the UK housing market looking unlikely, better value can be found elsewhere in the sector. Prefers Taylor Wimpey (TW.LN) and Barratt Developments (BDEV.LN), both rated at overweight. The price target is also taken down by Morgan Stanley's reduction in target NAV multiple to 1.4x from 1.5x. Meanwhile, says Berkeley's management reassures on the company's prospects but subdued mortgage lending and amendments to the planning system continue to weigh on the sector as a whole. Keeps at equalweight. Shares -0.3% at 834.5p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 23, 2010 05:58 ET (09:58 GMT)