EADS (Paris: NL0000235190 - news) rises to new record highs in heavy volume, following strong gains in the previous session when it posted a surge in profits as brokers raise their forecasts on the European aerospace and defence group.
EADS is up 4.6 percent at 38.85 euros in early morning trade, slightly below an earlier record intraday high of 38.90 euros. The stock rises to the top of France's benchmark CAC-40 index and is among the biggest gainers on the pan-European FTSEurofirst 300 index.
Trading volumes in the stock come in at around 100 percent of the average 90-day volume for EADS, above the average for the CAC-40 where volumes come in at just 27 percent of their usual 90-day amount.
EADS' latest gains mean the stock has risen by more than 10 percent in the last two days, after EADS reported better-than-expected 2012 earnings on Wednesday and lifted its dividend.
Societe Generale (Paris: FR0000130809 - news) analyst Zafar Khan raises his price target on EADS to 42 euros from 40 euros, and maintains a "buy" rating on the company.
Analysts at Kepler also increase their price target on EADS to 42 euros from 38 and similarly maintain their "buy" recommendation.
"The company continues to pursue improvement to bottom line as a key goal for the organisation, hence solid confidence in operational leverage," they write in a research note.
Reuters messaging rm://sudip.kargupta.thomsonreuters.com@reuters.net
