FLSmidth & Co. A/S (FLS) rose the most in five days in Copenhagen trading after JPMorgan Cazenove said Holcim Ltd. (HOLN), a client of Europe’s largest maker of cement production plants, will succeed in expanding in new markets.
FLSmidth advanced as much as 1.7 percent, the most since Sept. 14. The stock rose 1.3 percent to 357.40 kroner at 9:54 a.m. local time compared with a 0.4 percent advance in the Copenhagen 20 Index. (KFX)
JPMorgan said it sees “a longer run for emerging market cement” and raised its recommendation on the shares of Jona, Switzerland-based Holcim to overweight from neutral, according to a note published today. Copenhagen-based FLSmidth, which has supplied production plants to Holcim, generated 16 percent of its first-half revenue from its cement unit.
In a note dated yesterday, JPMorgan said it continues to prefer FLSmidth over Helsinki-based Metso Oyj in the mining equipment industry, repeating an overweight recommendation on the Danish company’s share. FLSmidth’s mining division, which makes conveyor belts and crushing equipment, generates more than half of the engineering company’s revenue.
Holcim shares rose as much as 2.2 percent in Zurich.
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