Broker snap: Genus bull joins the bears

4th Jun 2009 12:46

The share price of animal genetics group Genus is wilting after Evolution Securities downgraded the stock.The broker has shifted its stance from 'buy' to 'reduce' as it believes Genus will struggle to meet market forecasts in the year to end-June 2010.'Three key features will influence Genus's share price in the forthcoming financial year: currency, the prospects for established markets and the speed of emerging market development,' write Evolution analyst James Wheatcroft. 'We do not expect currency to prop up headline performance as per 2009 and underlying growth is flat. Established markets are tough. We have cut our estimates for 2010 and move to reduce,' Wheatcroft added.