latest ratings

RBS Australia 25/02/2010 1 Buy $4.50 11.7%

Target $4.50 (was $4.23). Interim earnings were impressive in the broker's view given trading and forex headwinds, so as markets improve it expects earnings growth to pick up.

Post the result the broker has adjusted its forecasts and price target and with the stock continuing to offer value in its view there is no change to its Buy rating.

Macquarie 25/02/2010 3 Downgrade to Neutral from Outperform - -

Transfield's interim result fell short of Macquarie's expectations and to make matters worse management's full-year guidance was maintained at flat to modest earnings growth. Not really a story to get overly excited about, or so it would seem.

And that's exactly what analysts at Macquarie thought about it all. They have pulled back to Neutral on the back of lowered forecasts.

BA-Merrill Lynch 25/02/2010 1 Buy, Medium Risk $4.43 9.9%

Transfield's result was in line with the broker albeit slightly below consensus. It was a flat period for project pipeline growth but the company has indicated the projects are now lining up and the broker's Buy rating is based on expected growth ahead.

Margins are steady and the balance sheet is strong. Bring on 2H10.

Deutsche Bank 25/02/2010 3 Hold $4.20 4.2%

The broker says Transfield's 1H result showed strong working capital management and that margins have started to recover. Deutsche is expecting further improvement in FY11, which it thinks could prove conservative if volumes recover and oil services books a strong recovery.

With a new management team in place, the broker recommends that investors wait for more clarity and detail on the new strategic plans. Hold maintained.