Broker snap: Panmure expects double digit growth at PZ Cussons

19th Aug 2011 12:45

Panmure Gordon highlighted drivers for double digit growth at PZ Cussons, the consumer products group, but kept its hold rating on the stock, saying that shares continue to look "fairly priced". The broker said that despite the tough trading conditions, earnings per share grew by 8.8% in the year to 31 May, and it expects the firm deliver a further 10% increase in the current year."We see the key drivers being Nigeria, Indonesia, PZC Beauty, and the balance sheet, where the company has substantial firepower for further acquisitions," Panmure said.However, with only an 8% upside to the 380p target price foreseen, a hold rating was maintained.Shares rose 0.09% to 349p at 12.45.BC