Synthomer tumbles on Morgan Stanley downgrade

Synthomer tumbled on Monday after Morgan Stanley downgraded the shares to ‘underweight’ from ‘overweight’ and slashed the price target to 400p from 568p.

The bank cited a sharp deterioration in the supply outlook and associated risk of faster-than-expected normalisation in earnings.

"We believe this, combined with volume risks, a management transition and rising leverage, leaves risks skewed to the downside," it said.

At 1000 GMT, the shares were down 8.4% at 435p.