MARKET TALK: Collins Stewart Cuts Provident Financial To Sell

27th Jul 2010 11:16

1016 GMT [Dow Jones] Collins Stewart downgrades Provident Financial (PFG.LN) to sell from hold, as the share are trading above CS's 800p price target. The 1H '10 results read positively, the group is well funded and it is able to honor its commitment to pay a 25.4p interim dividend, says CS. It warns though that the government's austerity program may hit forecasts. It fears management may reduce Home Credit lending in 2H '10 and market forecasts may prove to be too high. Shares are -4.4% at 844p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires July 27, 2010 06:16 ET (10:16 GMT)