MARKET TALK: BofA Merrill Ups Capita Group To Buy

26th Jul 2010 07:55

0655 GMT [Dow Jones] Bank of America Merrill Lynch raises Capita Group (CPI.LN) to buy from neutral. "We expect Capita to win more big ticket contracts over the next 12 months which, coupled with less run-off, should drive an improvement in organic growth over 2011/12," says brokerage. Adds that Capita is a high quality name, with strong market positions, management and cash flow returns. Has a 820p price objective. Shares closed at 739p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 26, 2010 02:55 ET (06:55 GMT)