Tele2: shares rise 2% on broker upgrade
(CercleFinance.com) - Shares of Swedish telecom operator Tele2 rose as much as 2% on Monday, after Berenberg upgraded the stock from "sell" to "buy," citing valuation grounds.
In a note to clients, the German broker said Tele2 shares have fallen by about 13% from their highs of July, underperforming the STOXX Europe 600 Telecommunications index by 15% and Telia by 24% over this period.
"At these share price levels, we consider the risk/reward to be more balanced, with 20% upside in a pair trade with Telia," Berenberg said.
However, the broker has cut its target price for the share from 124 Swedish kronor to 116 Swedish kronor.
The Tele2's shares, which are listed on the Nasdaq Stockholm market, are currently up 2% at 108.4 Swedish kronor.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
In a note to clients, the German broker said Tele2 shares have fallen by about 13% from their highs of July, underperforming the STOXX Europe 600 Telecommunications index by 15% and Telia by 24% over this period.
"At these share price levels, we consider the risk/reward to be more balanced, with 20% upside in a pair trade with Telia," Berenberg said.
However, the broker has cut its target price for the share from 124 Swedish kronor to 116 Swedish kronor.
The Tele2's shares, which are listed on the Nasdaq Stockholm market, are currently up 2% at 108.4 Swedish kronor.
Copyright (c) 2018 CercleFinance.com. All rights reserved.