UPDATE: JP Morgan Upgrades Telefonica SA to Overweight on Growth and Valuation
JP Morgan upgraded Telefonica SA (NYSE: TEF) from Neutral to Overweight.
JP Morgan commented, "As Telefonica is making good progress with the rebalancing of its European operations and balance sheet repair, we believe that the time has come to focus again on the company's attractive and differentiated exposure to Latam growth (>50% of 2013E EBITDA). … We upgrade Telefonica's stock to Overweight as we believe the combination of improved credit risk and better operational momentum should lead the valuation gap with the sector to close and the stock to outperform."
Telefonica SA closed at $13.13 on Friday.
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