Hillary Clinton’s proposals for US healthcare reform will, if she wins, create almost limitless outcomes, according to Citigroup with potential black swan outcomes in the event of a Democratic clean sweep.
“From a legislative angle, we continue to prefer names with either limited part D exposure [US Medicare] or heavier contribution of non-pharma assets."
Both UK flagwavers GlaxoSmithKline (LON:GSK) and Astra Zeneca (LON:AZN) are buys on that basis for the broker.
Gold miner Randgold Resources PLC (LON:RRS) is about 20% undervalued, a gap that should close as it releases more cash to pay out to shareholders according to JP Morgan.
Berenberg is sticking with its buy case for gas utility Centrica (LON:CNA) even though the investment case has been a frustrating one.
Centrica offers an attractive dividend yield underpinned by improving earnings and cash flow backed by cost-cutting, a recovery in commodity prices not yet reflected in the share price.
" Politics continues to dog the investment case but we continue to believe that the market is overly bearish" ,says the broker.
The target price is 240p.
A rising coal price points to rising dividends from Anglo Pacific Group PLC (LON:APF), suggests broker Peel Hunt.
Last week, the resource investor reported a 147% increase in royalty income in its third quarter.
Spot prices of coking coal, used in making steel, are up 229% in the year so far and 110% for thermal coal (used, among other things, in generating electricity). The target price goes from 128p from 108p
Ergomed PLC's (LON:ERGO) co-development deal with Asarina Pharma AB for Sepranolone enhances its pipeline, says broker N+1 Singer, which repeats a 'buy' rating and lifts the target by 10p.