UK's Schroders down as Jefferies raises concerns about P/E premium

Stroud Resources

29/01/2024 08:53

** Shares in UK fund manager Schroders  SDR.L  down 4.2% to
407.2p; top loser on London's FTSE 100  .FTSE  index 
    ** Brokerage Jefferies cuts price target by 5p to 430p; says
doubtful that co's FY results will be able to justify its 
price/earnings rating premium to sector
    ** "A  more  marked  shift  in  client  risk  appetite  - 
towards  equity  and  alternatives,  where  SDR overindexes
relative - is needed for a more compelling outlook for the
shares" - Jefferies
    ** BNP Paribas also cuts rating to "underperform" from
"neutral"
    ** Current average rating of 15 analysts on stock is "hold;"
their median PT is 440p - LSEG data 
    ** As of last close, SDR down ~13% in the last 12 months 

 (Reporting by Eva Mathews)
 ((Eva.Mathews@thomsonreuters.com;))