Broker tips: Rio Tinto, Tullow Oil, Foxtons

Investec hailed Thursday's announcement by mining group Rio Tinto that it has decided to extend the tenure of its chief executive officer (CEO) Sam Walsh and also its chief financial officer, saying it provides certainty for shareholders.

The broker added: "The announcement also provides some certainty around leadership, taking pressure off of the lieutenants that were the CEOs-in-waiting (assuming such alpha-males are happy to continue the lieutenant role)." It also said that Walsh is "no push-over" and so presents a "formidable barrier" against a potential takeover.

Tullow Oil's share price dropped sharply on Thursday after the company reported a mixed exploration and appraisal update on Kenyan operations, though analysts at Westhouse Securities recommend investors to use this weakness as a buying opportunity. The broker maintained an 'add' rating and 930p target price for the stock.

"While exploration success in the past 12-18 months hasn't matched prior success, it still stands at >50%, which is good in the context of the sector. We would be buying into any share price weakness on the back of this update," analysts said.

Investors of Foxtons shouldn't be deterred by a profit warning from the estate agency group, says Numis Securities, which maintained its 'buy' rating after a sell-off in the shares on Thursday.

The broker said it "continue[s] to believe in the fundamentals of the Foxtons model (strong cash generation and self financed organic growth)" and still forecasts 10% operating profit growth in 2015.