Broker tips: BHP Billiton, Antofagasta, Bovis Homes

19th Aug 2013 11:36

Barclays has maintained its positive stance on diversified mining giant BHP Billiton ahead of its full-year results on Tuesday."The share price of BHP Billiton has outperformed in seven of the last 12 years, and this year is proving no exception. The company's superior margin, ROCE, dividend and free cashflow yield continue to provide protection against the downdrift in commodity prices, while the diversified commodity base captures cyclical upswings."Morgan Stanley has kept its 'underweight' position on Chile-focused copper mining group Antofagasta, saying that while current operating momentum is positive it will be hard to keep up."Changes to capital allocation caused by lower cash generation and approval of marginal projects continue to make the investment case unattractive. The solid operating performance delivered in Q1/Q2 will be difficult to sustain due to expected grade declines and ongoing cost inflation."Prime Markets recommends to 'buy' shares of housebuilder Bovis Homes following Monday's interim report which showed strong growth in revenues and profits, as well as the group being 90% sold for legal completions in 2013."This of course means the South East-focused housebuilder should enter 2014 with a bulging forward order book, which for investors should mean a push for new year highs for the share price."BC