Absolute Capital Management Holdings "buy"

01/02/07 - Panmure Gordon & Co

LONDON, January 2 (newratings.com) - Analyst Sandy Chen of Panmure Gordon & Co maintains his "buy" rating on Absolute Capital Management Holdings Ltd (A9B). The 12-month target price is set to 500p.

In a research note published this morning, the analyst mentions that all the company's funds have been outperforming their benchmarks, generating better returns with reduced risk. Absolute Capital Management Holdings' stock is undervalued relative to that of its peers by 40%, despite better performance, higher profitability and more robust growth prospects, the analyst adds.