Analysts became optimistic on MSCI Europe's Materials sector during Q2 2013

Of the 9,718 ratings on MSCI Europe companies at the end of June, 44% were Buy ratings, 39% were Hold ratings, and 17% were Sell ratings.

During the second quarter, analysts covering companies in the MSCI Europe index became more positive on companies in the Materials sector, based on changes in their ratings. This sector witnessed both the largest percentage increase in Buy ratings and the largest percentage drop in Sell ratings (along with the Industrials sector) of all ten sectors during this time frame. Since March 31, the number of Buy ratings has jumped by 7% (to 434 from 406), while the number of Sell ratings has fallen by 13% (to 141 from 162).

Within the Materials sector, companies that have recorded a significant increase in the number of Buy ratings over this time frame include Glencore International PLC (+8) and ThyssenKrupp AG (+4). On the other hand, companies that have recorded a substantial decrease in the number of Sell ratings during this time include Anglo American PLC (-5), Fresnillo PLC (-3), CRH PLC (-3), and Yara International ASA (-3).

In addition to becoming more positive on companies in the Materials sector in terms of their ratings, analysts are also positive on companies in this sector in terms of their target prices. The Materials sector had the largest difference (+21.2%) between the bottom-up target price (257.37) and the closing price (212.34) of all ten sectors at the end of the second quarter.