Broker tips: ITV, Compass, Mondi, Admiral

14th May 2014 13:14

Investec has sounded a cautious note on ITV, saying that some may have expected more from the terrestrial broadcaster with its first-quarter update.The broker maintained a 'hold' stance on the shares with a 195p target price, saying that the stock's valuation "looks quite full versus media peers".Panmure Gordon sees "significant upside" at Compass Group after the catering company delivered decent first-half results and announced a £1bn special dividend.The broker reiterated its 'buy' recommendation and 1,100p target price for the stock. Panmure said: "Compass holds significant upside from a global recovery due to rising employment, further margin improvement and higher cash returns to shareholders. Davy Research said it sees upside risk at Mondi, keeping an 'outperform' rating on the packaging stock as the momentum in selling prices turns positive."Overall, while we are unlikely to change forecasts, if this positive momentum is sustained, the risk to forecasts is to the upside. Combined with positive long-term fundamentals for most of Mondi's business units, this means that we maintain our 'outperform' rating." Admiral's first-quarter results were met with a negative reaction from the market on Wednesday, but Numis Securities maintained a positive stance on the car insurer, saying it sees early signs of growth in the UK.Numis kept a 'buy' rating and 1,710p target price. The broker said that it was surprised by the 2% growth in UK customers to 3.08m in the first quarter, having pencilled in no growth over the full year.BC