Top of the Street: L'Oreal, Aveva, Elisa, European offices

Alstria Office REIT AG

08/01/2021 11:30

A round-up of notable broker activity this morning from Europe's
top-ranked* analysts:
    
    ** Evercore cuts L'Oreal  OREP.PA  to "in line" from
"outperform", saying that while China and e-commerce will
continue growing strong double-digits, it sees headwinds given
the company's geographic and channel diversification
    ** Citigroup raises Finnish telecom service provider Elisa
 ELISA.HE  to "neutral" from "sell", saying mobile service
revenue is likely to return in 2021  urn:newsml:reuters.com:*:nL8N2JJ139
    ** Stifel raises Aveva  AVV.L  to "buy" from "hold", citing
the recent share price weakness as the company prepares to close
OSIsoft acquisition which, in broker's opinion, strengthens
product offering and should lead to improved sales synergies
    
    INITIATIONS AND REINSTATEMENTS
    ** Societe Generale initiates coverage of office property
companies Alstria Office  AOXG.DE , Inmobiliaria Colonial
 COL.MC , Merlin Properties  MRL.MC  with caution, as the market
suffers the impact of COVID-19  urn:newsml:reuters.com:*:nL8N2JJ1GC
    ** It starts Spanish Colonial with "sell", asking why it has
not taken the chance to benefit from wider diversification and
scale as a truly pan-European office consolidator
    ** Spanish Merlin Properties gets "hold" from SocGen, which
cites elevated risk in Spain, hit hard by the pandemic, even
though the company is well-placed to ride this risk out
    ** SocGen shares Alstria Office management's concerns that
the property market has been overstimulated by a loose monetary
policy and that COVID-19 has heightened risks -- initiates the
German company with "sell", advising to wait for a better entry
point
    
    
(*Analyst rankings from Thomson Reuters StarMine. The scale is
from 1-star to 5-star with 5 being the best. Analysts are ranked
on earnings accuracy as well as relative performance of
recommendations over trailing 12-month & 24-month periods.)


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