GN Gains as Danske Bank Says Decline Overdone: Copenhagen Mover
GN Store Nord A/S (GN), the Nordic region’s second-biggest hearing aid maker, jumped the most in a month and a half in Copenhagen trading after Danske Bank A/S said investors should buy on recent price declines.
GN rose as much as 2.9 percent, the most since Nov. 1. The stock advanced 2.1 percent to 78.85 kroner at 9:57 a.m. local time, with trading volume at 64 percent of the three-month daily average.
GN’s share had dropped 17 percent in the six weeks through yesterday as analysts, including SEB AB’s Niels Granholm-Leth, recommended investors cash in on 2012’s gains. Danske said today the decline was overdone especially as the shares of GN’s peers have advanced, and the bank raised its recommendation on GN to buy from hold.
“After the recent slide the shares look attractive again in our view,” the Copenhagen-based bank said in a note to investors.
William Demant Holding A/S, GN’s biggest Nordic rival, has gained 4.2 percent this month in Copenhagen trading. Sonova Holding AG, the world’s biggest hearing-aid maker, has advanced 2.8 percent in the same period in Zurich trading.
The stock of Ballerup, Denmark-based GN is this year’s second-best performer in the Nasdaq OMX Copenhagen 20 index (KFX) with a 63 percent gain. After Danske’s upgrade, six analysts recommend buying the stock, 10 advise holding while one has a sell rating, according to data compiled by Bloomberg.
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