Investec upgraded its stance on housebuilder Crest Nicholson Holdings Plc on Wednesday to 'buy' from 'hold'.
It said that while the group continues to face challenges with relatively poor near-term financial metrics, these look to be largely priced into the shares.
"With more certainty and confidence around the balance sheet and a management team about to set and focus on a revised growth strategy, we believe the shares look more attractive and we upgrade to buy," Investec said.
At 1605 GMT, the shares were up 6.3% at 173.33p.