Top of the Street: L'Oreal, HSBC, Just Eat, European utilities

Tieto Oyj

15/01/2024 14:16

A round-up of notable broker activity this morning from Europe's
top-ranked* analysts:
    
    ** UBS cuts French beauty giant L'Oreal  OREP.PA  to
"neutral" from "buy", citing a "more uncertain" 2024 outlook for
the industry than a year ago
    ** Exane BNP Paribas cuts Dutch-based food ordering company
Just Eat  TKWY.AS  to "underperform" from "neutral" on risks to
consensus
    ** Exane downgrades British lender HSBC  HSBA.L  to
"underperform" from "neutral" as rate expectations retreat
    ** Exane also cuts German online property platform Scout24
 G24n.DE  to "neutral" from "outperform", saying it's time for a
pause after strong performance in 2023
    ** Deutsche Bank says the 2024 market outlook for European
utilities looks "neutral to moderately positive", raising
Denmark's Orsted  ORSTED.CO  and UK's National Grid  NG.L  to
"buy" from "hold", and Spanish Redeia  REDE.MC  to "hold" from
"sell"
    ** DB cuts French aircraft manufacturer Dassault Aviation
 AM.PA  to "hold" from "buy" after 2023 orders and deliveries of
its Falcon aircraft came in below expectations
    ** Morgan Stanley upgrades Finnish IT services provider
TietoEvry  TIETO.HE  to "overweight" from "equal-weight", citing
a relatively undemanding set-up into 2024 and easing H2
comparables
    ** HSBC raises French IT consulting group Capgemini
 CAPP.PA  to "buy" from "hold", seeing a favourable earnings
momentum in 2024
    ** RBC cuts VAT Group  VACN.S  to "underperform" from
"sector perform", expecting 2024 growth trajectory to slow down
after the Swiss industrial valves maker delivered strong Q4
orders
    ** RBC cuts Swedish engineering group Alfa Laval  ALFA.ST 
to "sector perform" from "outperform" on slowing demand momentum
in the near term

(*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.)


 (Reporting by Elviira Luoma and Anastasiia Kozlova)
 ((Elviira.Luoma@thomsonreuters.com;
Anastasiia.Kozlova@thomsonreuters.com))