Broker snap: IMI, Hunting, Rockhopper

23rd Jan 2012 11:29

UBS has downgraded industrial engineer IMI from buy to neutral, saying it "can't get excited" over the group's growth prospects."We still like IMI's self-help story and balance sheet optionality but after the disappointment over Q3 growth, at least versus our expectations, combined with a recently buoyant share price we find it difficult to remain bullish on the stock," UBS said.The target price is cut from 950p to 900p to reflect minor estimate changes to currency and the "lacklustre" growth outlook.Merchant Securities has reiterated its buy stance on Rockhopper Exploration as rumours continue to 'do the rounds' in relation to possible buyers of the Falklands-focused oil and gas group.At the weekend, the Sunday Times said that US firm Anadarko Petroleum Corp is mulling over whether or not to make a move on Rockhopper, after a team of executive flew to the Falklands last week to meet with the firm's managers."We believe that Rockhopper's assets are of the same geological family as Anadarko's assets on the East Coast of Africa. We are therefore not surprised that Anadarko is taking a serious look a Rockhopper," said Merchant analyst Brendan Long. Long added that any investment from Anadarko would represent an American interest which would dispel political risks.Merchant Securities has maintained its 428p target price on Rockhopper.Prime Markets recommends to buy shares of Hunting ahead of its results in March as the oilfield support services provider revealed on Monday that full-year figures are set to be above expectations."Investors that held or chased down their holdings in Hunting Plc during the crash last August and the acquisition of Titan and WL Doffing will be glad they did, as Hunting continues to prove its mettle as one of the world's leading upstream oil and gas companies," according to the head of dealing at Prime Markets, Richard Curr.Prime Markets gives Hunting a target price of 900p.BC