MARKET TALK: RBS Nudges Up ITV Price Target

10th Jun 2010 12:47

1147 GMT [Dow Jones] Royal Bank of Scotland nudges up ITV (ITV.LN) price target to 75p from 71p. Thinks the company is the most logical buyer for Five, now that RTL has indicated it is exploring a disposal. RBS says the deal would be highly accretive to ITV's earnings. Estimates 24% potential EPS accretion if a deal went ahead. Admits that regulatory hurdles are meaningful but doesn't see them as being insurmountable. Meanwhile, increases FY advertising growth forecast to 10% from 8%. Lifts '10 EPS forecast to 4.1p from 3.6p and '11 to 5.1p from 4.7p. Keeps at buy. Shares are +3.2% at 54p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 10, 2010 07:47 ET (11:47 GMT)