Paddy Power rating raised by analysts

Paddy Power shares recouped some of Thursday’s drop yesterday after its stock rating was raised to overweight at Morgan Stanley.

It recommended that investors switch from British competitors William Hill and Ladbrokes.

The “major concerns” of weak consumer spending, refinancing and tax risk appear “less significant” for Paddy Power, the analysts wrote. They lowered their share-price estimate to €20 from €28.