Broker snap: Singer encouraged by Informa's outlook

26th Oct 2011 13:04

Singer Capital Markets has reiterated a buy recommendation on business-to-business publisher and events organiser Informa after the group confirmed that it is "on track to meet our expectations for the full year".The broker highlights comments by Informa's chief executive Peter Rigby, who said that while the economic environment is uncertain, it has not yet had an impact on current trading.Analyst Johnathan Barrett said: "Clearly this is encouraging and given the nature ofInforma's revenue mix (the majority offers significant visibility for a year ahead) it seems likely that the scale of downside risk to 2012 forecasts is modest unless there is a global macro shock."The stock has edged up towards the top of its recent trading range, implying it has lagged the broader equity market improvement. With the stock trading on less than 10 times [earnings] and offering a premium yield (4.2%) it should move higher on the back of this statement," he added.A 522p target price is kept.By 13:01, shares were up 3.76% at 369.5p.