William Morrison "sell"

01/02/07 - Panmure Gordon & Co

LONDON, January 1 (newratings.com) - Analysts at Panmure Gordon maintain their "sell" rating on William Morrison Plc (MRW-GBX). The target price is set to 200p.

In a research note published this morning, the analysts mention that the consensus estimates for the company appear to be over-optimistic. As William Morrison's chief executive modernizes and reorganizes the business, the company's costs are likely to rise in the long term, the analysts say. Execution risk associated with a recovery at William Morrison is high, Panmure Gordon adds.