LSE shares rise after UBS upgrades rating of exchange operator
2023.03.17 08:36
© Reuters.
By Scott Kanowsky
Investing.com — Shares in London Stock Exchange Group PLC (LON:) jumped on Friday after analysts at UBS raised their rating of the exchange operator to buy from neutral.
The analysts at UBS also said they expect LSE to hike its medium-term growth outlook thanks to pricing strength at its trading and banking unit, as well as foreign exchange tailwinds.
They noted that the stock is currently “cheap,” with holdings in the business at the lower end of its two-year average. The analysts added that the balance of risk to reward of the shares is “very favorable.”
The UBS upgrade comes after LSE outlined plans to buy back more of its shares and increased its income growth guidance earlier this month, citing benefits from the integration of Refintiv. LSE acquired the data analytics firm from a consortium of Blackstone (NYSE:) and Thomson Reuters (NYSE:) in a $27 billion deal in 2021.
