Jefferies upgrades Nexans to 'buy' on improving outlook
BUZZ-Jefferies upgrades Nexans to 'buy' on improving outlook ** Jefferies upgrades French cable maker Nexans NEXS.PA to "buy" from "hold" and keeps its PT unchanged at €158
** The broker says a fall of more than 20% in the share price since a June peak opens an opportunity ahead of improving fundamentals
** Jefferies expects Nexans to report better growth at Q3 results, due on October 22, thanks to strong demand in the Grids unit in a tight market, with buoyant demand for higher-margin accessories
** However Transmission, the unit that makes high-voltage cables for power links, will remain in decline in Q3, the broker expects
** Visibility in Transmission could still improve meaningfully in coming months as a pending order nears announcement and news flow on the Great Sea Interconnector (GSI)
** The broker keeps its "buy" ratings on competitors Prysmian PRY.MI and NKT NKT.CO
(Reporting by Nathan Vifflin)
((nathan.vifflin@thomsonreuters.com; gdansk.newsroom@thomsonreuters.com; +48 58 769 67 13;))