Panmure Liberum upgraded Greggs (LON: GRG) to Buy from Hold today, lifting its target to 2,440p from 1,560p. The call followed the bakery chain’s third-quarter update yesterday. It is the first of three London names we are watching going into the fourth quarter, alongside Coca-Cola HBC and Victrex. The notes are this week’s broker calls; the Q4 selection is ours, not the brokers’.
Greggs said total sales rose 7.7% in the 13 weeks to 26 September, with like-for-like sales up 3.4% against 2.1% in the first half, according to Sharecast. It expects a “modestly improved” 2026 outcome and unveiled a manufacturing overhaul. The shares rose 8.16% yesterday to 2,028p, then closed today at 1,988p, down 1.97% but up 18.3% this year.
Panmure Liberum framed the upgrade as a turn in the earnings cycle:
With the company rapidly pivoting from an earnings downgrade cycle to an upgrade cycle, alongside improving cash generation, it is one to watch in Q4.
Panmure Liberum
Panmure raised its profit before tax forecasts by about 2% but notes a cost headwind from Derby in the second half. Berenberg lifted its Greggs target to 2,300p from 2,200p, yet stays cautious on 2027 because of potential food, energy and wage inflation.
Coca-Cola HBC (LON: CCH), the bottler serving Europe, Africa and emerging markets, drew a reiterated Buy from Berenberg on Tuesday, with the target at 5,483p from 5,453p.
Berenberg said the forthcoming Coca-Cola Beverages Africa acquisition would materially strengthen long-term growth, at an implied 12.9x EV/EBIT (enterprise value to operating profit) and about 1.5% earnings-per-share accretive before synergies. It flagged a weak 7.4% operating margin at the target business for FY24 and an initial 5.4% return on invested capital.
Canaccord Genuity also reiterated Buy on Tuesday on Victrex (LON: VCT), the PEEK polymer specialist, raising its target to 1,050p from 725p after last week’s capital markets day. It called the reset “back‑to‑basics”, though management halved the dividend. Canaccord points to targeted compound annual growth of 4%-7% against 0.1% over the past decade, but cut its FY28 earnings-per-share forecast by 14%.
All three shares fell today. Coca-Cola HBC closed at 4,206p, down 3.40% and 23% below Berenberg’s target; Victrex closed at 911p, down 1.30% and 13% below Canaccord’s. Targets are broker opinions, not AskTraders forecasts.
Since the end of June, Victrex stands at 158.4 and Greggs at 124.3, while Coca-Cola HBC is at 85.5.
| Company | Ticker | Broker | Rating | Target | 1 Oct close |
|---|---|---|---|---|---|
| Greggs | GRG | Panmure Liberum | Buy (upgraded from Hold) | 2,440p | 1,988p |
| Greggs | GRG | Berenberg | Not stated | 2,300p | 1,988p |
| Coca-Cola HBC | CCH | Berenberg | Buy (reiterated) | 5,483p | 4,206p |
| Victrex | VCT | Canaccord Genuity | Buy (reiterated) | 1,050p | 911p |
Victrex full-year results are listed for the 1st of December and Greggs’ next report for the 2nd of March, outside the quarter. Neither date is confirmed by the companies.