Numis upgrades Henry Boot to 'buy'

22nd Aug 2014 09:40

Numis Securities has upgraded Henry Boot from 'add' to 'buy' after the housebuilder said on Friday that full-year results would beat forecasts.The broker said Henry Boot's trading is "positive on all fronts" as pre-tax earnings before interest surged 79% to £14m in the first half."Henry Boot has reported a continuation of the encouraging trends seen over recent periods and, as a result, management expect to exceed full-year expectations," Numis said."We therefore upgrade both 2014 and 2015 forecasts, but continue to argue that there is upside risk to numbers."Numis reckons that the 6% year-to-date fall in Henry Boot's shares is out of kilter with the 3% increase seen across the Numis Housebuilders Index.The broker maintained its 254p target price for the stock, which was up nearly 8% at 202.38p by 09:50 on Friday.BC