MARKET TALK: Nomura Downgrades Petrofac To Neutral

17th Jun 2010 09:07

0807 GMT [Dow Jones] Nomura downgrades Petrofac (PFC.LN) to neutral from buy, but lifts its target price to 1300p from 1240p. "Although we remain positive on the long-term fundamentals, we believe the company's robust track record and growth prospects vis-a-vis its oil services peers are now close to being fairly reflected in its premium relative valuation," it says. Still, Nomura's new Petrofac earnings estimates for 2011 and 2012 are 11% and 20% above consensus respectively. "We see little scope for further relative outperformance versus the wider sector near-term," it adds. Shares -2.4% at 1256p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 17, 2010 04:07 ET (08:07 GMT)