RBC Capital upgrades Smith Group

RBC Capital Markets upgraded Smiths Group on Thursday to ‘sector perform’ from ‘underperform’ and lifted the price target.

"Underperformance of around 20% over the last nine months means that the relative valuation of Smiths has moved from a significant sector premium to now a slight discount," it said.

"With higher peer multiples supporting our sum-of-the-part rising to 1,775p (from 1,650p) we upgrade our rating."