Photo: Chris McGrath / Getty
Good morning. Here’s your daily equity research round up from the Street.BMO Capital Markets:
The Blackstone Group (BK): BMO upgraded Blackstone from Market Perform to Outperform on a positive outlook for asset growth and valuation. Despite a difficult economic environment, the alternative asset fundraising environment remains strong. BMO expects Blackstone to grow assets faster than traditional managers.
Brookfield Asset Management (BAM): Credit Suisse has downgraded BAM shares from Outperform to Neutral after this year’s 25 per cent outperformance against other financials in the S&P/TSX Composite. They see limited excess return at their current price target, and believe some near term negatives are not factored into the price.
Autos and Auto Parts: June’s US Light Vehicle SAAR beat DB’s 13.8 MM estimate, at 14.1 MM. A good part of growth came from fleet sales, but there was an encouraging uptick in retail sales, possibly fuelled by lower gas prices. There were particular positive signs for GM and AXL, on growth of the GMT900 platform.
EMC Corporation (EMC): Though Oppenheimer believes EMC is tracking in-line with expectations, they are concerned about foreign exchange headwinds as well as risks from the company’s financial services division. Outperform rating is maintained, but the price target is reduced from $34 to $32 on lower multiples.
Don’t miss: The 14 Best Stocks In America >