Broker tips: Imperial Tobacco, Hammerson, Liberty International

6th Aug 2009 13:53

Charles Stanley analyst Tina Cook has been casting her eye over the performance of Imperial Tobacco in its various markets around the world and praises its ability to capture the 'down-trading trend'.In the UK, she notes, the maker of Lambert & Butler, which is one of the cheaper brands, has been continuing to balance market share gains with continued profitability. The firm is holding market share in Germany and seeing it increase in other EU countries, but feeling the impact of economic weakness in Spain, she observes.Trading has been mixed in the US as tax rises effect volumes but the premium brand Davidoff makes progress in cities. The firm, on which Cook has an 'accumulate' rating, is continuing to grow in other world markets, she says.Nomura has been taking a look at property stocks and is no longer bullish on the sector following some good gains in share prices lately.It now has a 'neutral' rating on Hammerson compared with a 'buy' recommendation previously, while Liberty International is downgraded to 'reduce' from 'neutral'.'Real estate values are stabilising but rents are still in mid recession,' the broker says.It continues: 'Until capital growth is re-established, we believe REITs need to earn their keep with high cash returns, long leases and durable tenant mix.'