BUZZ-Sainsbury's: 2nd-top European retail gainer on Exane hike
** Sainsbury (Amsterdam: SJ6.AS - news) 's +2.4 pct & 2nd top Stoxx 600 retail gainer as Exane BNP Paribas says deal to buy Argos-owner Home Retail points to greater estate overlap, synergies
** Brokerage upgrades to "outperform" from "neutral", ups TP by 12 pct to 280p on a deal it considers underappreciated
** Says whether SBRY can really grow Argos remains moot, but it can give the business more reach, broker lifts its central synergy forecast to £160 mln v £120 mln
** SBRY agreed this month to buy Home Retail in 1.3 bln stg deal
** Up to Tues close, SBRY -3.6 pct YTD vs -8.7 pct Stoxx peer index; peers Tesco - 21 pct & Morrisons' -20 pct
** 4 brokerages rate SBRY "buy" or higher, 10 "hold" and 6 "sell" or lower; median PT 260p, according to Thomson Reuters (Dusseldorf: TOC.DU - news) data (RM: esha.vaish.thomsonreuters.com@reuters.net)