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The 2014 All-Europe Research Team: Italy, No. 2: Flavio Cereda, Raffaella Tenconi & team

< The 2014 All-Europe Research Team
Flavio Cereda, Raffaella Tenconi & team
Bank of America Merrill Lynch
First-place appearances: 0

Total appearances: 1

Team debut: 2014

Flavio Cereda, who focuses on small- and midcap stocks, and strategist Raffaella Tenconi form the nucleus of the London-based Bank of America Merrill Lynch team that debuts in second place. To cover 34 Italian stocks, the newcomers collaborate with ten European sector analysts. They remain bullish on Milan-based UniCredit, whose stock has been mostly on the rise since April 2013. Trading at €5.38 at the end of December, it could reach €6.30 in the near term, the group contends. The money center bank’s earnings are well below their long-term potential, the analysts believe, and the company is poised to benefit from both an expected macroeconomic turnaround in Italy and a successful implementation of a European banking union. Milan’s Yoox is also a favorite, Cereda says. Recommended as a buy since June 2011, the global Internet retailer for luxury and fashion brands still enjoys “very significant growth potential,” he notes, given its “unique role as a one-stop shop,” which should facilitate attracting more high-end names into its fold. Trading at €32.60 at year-end 2013, the stock has a price objective is €34. One money manager says of the BofA Merrill crew: “I always appreciate their high-quality research and responsiveness to my requests.”


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