Broker tips: Betfair, Fenner, McBride

6th Sep 2011 12:47

Evolution Securities has said that while Betfair's revenue fell in the first quarter, the result was better than expected."Despite the revenue decline, we think this is a solid performance against difficult comps," said analyst James Hollins.However, the broker maintains its neutral stance, due to uncertainty over the next chief executive officer and potential regulatory and licensing issues across Europe."For the brave, there is material upside to our unchanged 950p target price," Hollins said.Brokers Prime Markets and finnCap have confirmed their buy recommendations on Fenner, after the conveyor belt maker conveyor belt maker announced on Tuesday that numbers for the year ended 31 August are likely to be ahead of market expectations.The reinforced polymer technology upped its guidance after strong growth in both the Conveyor Belting and Advanced Engineering Products divisions.FinnCap keeps its 450p target price, while Prime Markets expects Fenner to return to the 374p level in the next five-10 days.While McBride reported in-line full-year results, Panmure Gordon has kept its hold rating on the own label goods maker, saying that it remains cautious in regards to the following year."As we move through FY 2012E, we anticipate the rate of input cost inflation to moderate further, allowing the company to recover costs and increase margins, but we expect this more in H2 2012E," the broker said.The target price is left at 130p.BC