UK MARKET TALK ROUNDUP: SHARES GAINING

25th Jun 2010 10:10

Stocks on the rise in the UK today. Compiled by Dow Jones Newswires Markets Desk, [email protected] Contact us in London. +44-20-7842-9464 [email protected] 0910 GMT [Dow Jones] Collins Stewart downgrades Petrofac (PFC.LN) to hold from buy after recent outperformance in the past month. Notes the company's latest interim management statement points to good backlog growth in 2H '10 but thinks this was already expected by the market. As a result of the recent strength, says valuations are looking increasingly unattractive. Also, remain cautious on Petrofac's ability to maintain net post-tax margins of over 10% in its core engineering and construction division in the medium term. Maintains 1250p price target. Shares +0.2% at 1226p. ([email protected]) 0708 GMT [Dow Jones] Berkeley Group's (BKG.LN) pretax profit and EPS in its final results are ahead of forecasts says KBC Peel Hunt. Also notes the cash position is higher than anticipated. Meanwhile, suggests Berkeley needs to map out its new strategy as it is still living off its land deals from 12-15 years ago. Warns this will run down and there needs to be guidance on what will take its place in the medium term. Notes that the sector overall is pushing ahead in its relief rally since the UK Budget. Keeps Berkeley at hold with 644p price target. Shares +1.4% at 812p. ([email protected]) Contact us in London. +44-20-7842-9288 [email protected] (END) Dow Jones Newswires June 25, 2010 05:10 ET (09:10 GMT)