MARKET TALK: Serco On Track To Meet Expectations - Panmure

29th Jun 2010 13:51

1251 GMT [Dow Jones] Serco's (SRP.LN) trading update confirms the group remains on track to meet expectations, says Panmure Gordon. Organic revenue growth is still healthy and progress towards the group's 6.3% margin target (by '12) is being made, Panmure says. Still the brokerage maintains its cautious stance on the stock, citing its premium valuation, strong recent performance and the ability for individual bits of news to move the share price. Notes that while Serco is a quality operator, it sees better value elsewhere. Keeps the stock at sell with 360p price target. Shares -2.7% at 607p. ([email protected]) Contact us in London. +44-20-7842-9464 [email protected] (END) Dow Jones Newswires June 29, 2010 08:51 ET (12:51 GMT)