Broker tips: ARM, AVEVA, Savills

23rd Apr 2013 10:44

Investec has maintained its 'hold' recommendation and 940p target price for chip designer ARM Holdings but has hailed the company's forecast-beating first-quarter results."We believe ARM is entering a sustainable, royalty-driven upgrade cycle and expect this positive momentum to continue. However this outlook is factored into our target price."Sanlam Securities has lifted its rating for engineering data and IT group AVEVA from 'sell' to 'hold' after an in-line pre-close trading update removed short-term risks to forecasts."The update is positive in that AVEVA has been able to withstand a slowdown in the Latin America region through resourcing constraints. This was previously an important engine of growth for the business, and we suspect the Chinese subsidiary must have performed very well in Q4 to compensate."Savills was performing well on Tuesday morning after UBS upgraded its stance on the stock from 'neutral' to 'buy', saying it sees further upside from a global real-estate recovery."We believe that Savills remains well placed to benefit from a continued recovery in global real estate markets. Specific sources of upside include: reversing losses in Continental Europe, cost control and further transaction volume growth," UBS said.BC