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Royal Mail: UBS cuts target price

( - UBS has reiterated its "buy" rating on Royal Mail shares, although has reduced its target price from 540 pence to 420 pence, with its new target price still giving upside potential of 24% for the UK postal incumbent operator's shares.

"Short term momentum remains difficult. On our de-risked mid-term estimates RMG trades on low teens FCF yields," the broker summarised.

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