UK & South Africa: JP Morgan still confident on SABMiller
JP Morgan maintains SABMiller at overweight following a strong 1Q trading statement, Dow Jones Newswires released August 01.
It says despite a sharp rise in the share price (+14%) in the last month, the stock still trades at a discount to its peers - '07 PE of 14.4x against Heineken's 16.2x and InBev's 15.6x - and this is "increasingly unwarranted." JP Morgan notes SABMiller remains its top pick in beverages. It keeps May '07 DCF-derived target price of 1,140p. Shares closed at 1,075p.
02 August, 2006