NCB recommends DCC as a buy

The distribution group, DCC, is attracting buy recommendations. The company has performed strongly in the first half of 2000 and its full-year out-turn is now forecast to be ahead of expectations. It reported progress in all divisions, while the timely disposal of the Fyffe's shareholding earlier this year has greatly increased its balance sheet strength and offers further scope for acquisitions. NCB Stockbrokers has upgraded the stock to a buy, despite the strong price performance already this year. DCC shares have appreciated by 52 per cent in 2000 and are believed to be able to make further progress. NCB suggests the stock can breach its previous high of €13 and is setting a share price target of €14, an appreciation of 25 per cent from its current market value.