In the good books
Downer EDI (DOW) Upgraded to Buy from Neutral by Citi B/H/S: 3/2/1
Citi upgrades to Buy from Neutral and raises FY18-20 underlying net profit forecasts by 33-40%. This comes largely on the back of incorporating the integration of Spotless into forecasts after a period of restriction, with a subsequent transfer of coverage to another analyst.
The broker increases the target to $7.50 from $7.26 following the revisions. Citi remains attracted to the diversification and leverage to infrastructure-related sectors.