Digi Spain shares jump on positive brokerage initiations
BUZZ-Digi Spain shares jump on positive brokerage initiations Recasts with share move and adds Barclays initiations in bullet points 1, 2 and 4.
** Shares in Digi Spain DIGIS.MC rise more than 7% after Barclays and Citigroup initiate coverage of the telecoms provider with positive views, citing growth prospects, market share gains and improving profitability
** Barclays starts coverage at "overweight" with a €7.2 price target, while Citi initiates it with a "buy" rating and a PT of €8.3, versus Monday's close of €6.64
** The stock debuted in Madrid on July 16 and has gained more than 20% from its IPO price
** Barclays says Digi's fibre assets and Telefonica TEF.MC ties strengthen its control over fixed and mobile infrastructure
** Citi says the company's focus on core operations and limited outsourcing keeps costs low, enabling competitive pricing and market share gains
** Citi does not see operating free cash flow after leases turning positive until 2029 due to Digi's investments in its fibre-to-the-home network, though it also views independence of its infrastructure as positive
($1 = 0.8575 euros)
(Reporting by Gemma Guasch)