MARKET TALK: Charles Stanley Starts Mothercare At Hold

23rd Jul 2010 07:00

0600 GMT [Dow Jones] Charles Stanley initiates its coverage of Mothercare (MTC.LN), with a hold rating and a 500p price target. Says Mothercare has a reputation as one of the best long-term investment stories in the UK general retail sector. However, says the recent increasing uncertainty surrounding trading at the UK business deters it from being more constructive on the stock, for now. Says recent trading statements show how dependent group profitability still is on Mothercare's highly operationally geared UK business. Therefore, short-term uncertainty with regards the UK outweighs the long-term attractions. Shares closed Thursday at 526p.([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 23, 2010 02:00 ET (06:00 GMT)