Broker tips: International Power, James Fisher, Perform

30th Aug 2011 11:10

Despite International Power's (IPR) recent strong performance, UBS has kept its buy rating on the power generator and said that upgrades are expected following an investor day in September."IPR is almost perfectly positioned for the uncertain macro outlook: limited exposure to deleveraging economies, growth from oil rich emerging markets, a business model focused on low cost contracted generation (no subsidies and limited commodity exposure), €15bn of excess cash flow and double-digit earnings per share growth to 2015," the broker said.The target price has been raised from 360p to 370p.Charles Stanley has upgraded James Fisher & Sons from hold to add, after its interim results highlighted the "continued attraction of the group's specialist niche marine services offering."The Asia-focused marine services firm reported last week that revenues rose 12% and normalised pre-tax profits increased 5% in the six months ended 30 June. Diluted earnings per share (EPS) climbed 11%."Our prevailing price target of 570p was based upon peer group valuation applied to forecast FY2010 EPS of 42p. On the same basis, applying a peer group multiple to the forecast FY2011 EPS of 47p generates a target price of 587p, upside of 10%." Peel Hunt says that Perform Group's maiden interim results - since its initial public offering (IPO) in April - have reported solid trading, and kept its positive stance on the sports digital media firm."Operational metrics are all pointing in the right direction and we remain positive on the company's digital content model with its global opportunities," said analyst Patrick Yau.A buy rating and 186p target price were maintained.BC