Broker tips: Burberry, Apple, Shire

16th Jul 2015 11:26

(ShareCast News) - Despite wider analyst concerns about a Chinese slowdown on Burberry, Goldman Sachs reiterated its 'buy' recommendation on the fashion group and said it expected the shares to rerate considerably higher.A 12-month target price was 2,323p, offered 47% upside to the last closing price of 1,578p.With profit guidance maintained by the company in its first-quarter trading update on Wednesday, Goldman noted that Burberry continues to deliver "stand-out" top-line growth of above 8% at constant currencies with 6% like-for-like growth and 15% cash flow growth.Apple has been reiterated as a 'buy' by UBS, which has set a 12-month price target of $150 and said Wall Street may be underestimating iPhone's average selling price (ASP).The Swiss bank noted that its forecasts for revenue of $52.5bn and earnings per share (EPS) of $2.00 were above analysts' consensus of $49.1bn and $1.79 for the June quarter, which was based on a higher iPhone ASP estimate from its consumer research.Shire got a leg up on Thursday as Berenberg reinitiated coverage of the stock with a 'buy' rating and 6,300p price target."We believe that Shire has successfully refocused as a standalone business following the collapse of the planned Abbvie acquisition in October last year, and is transforming itself into a true specialty pharma company with a robust rare disease (RD) pipeline."