Paddy Power "buy"

01/02/07 - Dresdner Kleinwort Wasser.

LONDON, January 2 (newratings.com) - Analysts at Dresdner Kleinwort maintain their "buy" rating on Paddy Power Plc (PLS). The target price is set to €16.50.

In a research note published this morning, the analysts mention that the company achieved favourable results in horse racing and football during the Christmas season, after disappointing results in October and November. The results of the Italian Betting Tender, released on December 28, 2006, indicate that Paddy Power’s competitor, Ladbrokes, has won licenses to open 91 betting shops, representing 3.5% of the total number of licenses granted, the analyst says. The licenses reflect a shift to increased acceptance of the European gambling market, Dresdner Kleinwort adds.