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'Underweight in retail'

Noting that the British Retail Consortium's (BRC) April figures showed an overall sales increase in the retail sector of 4.9 per cent, 'Ratty & Co' at Seymour Pierce are a little suspicious of the accuracy of the figures considering poorly performing Marks & Spencer constitutes a large proportion of the BRC. SP remains underweight on the sector.

It is still bullish on home shopping and educational supplier Findel though, ahead of its year-end report. Earnings are anticipated to be up 20 per cent, although growth in the low double-digit figures is expected going forward. Blooms of Bressingham, the garden centre operator, is another stock SP is keen on, rating it an 'outperform', after a pre-tax loss of £250,000 was transformed into pre-tax profits of £510,000 for the year to January. It likes the current management team headed by John Kitching and expects profits to pick up sharply.

In May, SP stuck to an underperform rating for ladies fashion and home furnishings retailer Laura Ashley and antiques retailer Partridge FA.