MARKET TALK: Nomura Ups Lloyds; Cuts Barclays, HSBC

28th Jun 2010 08:12

0712 GMT [Dow Jones] Nomura upgrades Lloyds Banking Group (LLOY.LN) to buy from reduce and lifts the target to 80p from 53p. Says Lloyds is particularly geared to domestic margin expansion owing to the repricing of mortgage asset yields and short-term wholesale funding. Cuts Barclays (BARC.LN) to neutral from buy and target to 300p from 425p. Says the group's profits are respectable but the valuation is likely to remain capped by the business mix and associated regulatory risk. Also cuts HSBC (HSBA.LN) to neutral from buy. Lowers target to 725p from 800p. Sees a lack of revenue momentum over the next few periods. Lloyds +1.4% at 155p, Barclays +1.2% at 285p, HSBC +0.1% at 642p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 28, 2010 03:12 ET (07:12 GMT)