Should Brewin Dolphin shares be 75% higher?

Shares in wealth manager Brewin Dolphin should be trading more than 75% higher than their current level over the long term, according to analysts at Panmure Gordon.

Brewin released its results covering the six months to 31 March today, highlighting a fall in pre-tax profits but growth in funds under management. The group said it will undertake a share placing of 7.5% of its share capital, in a bid to raise £40m which it will use for acquisitions and to bolster surplus capital. This target is "a lot larger" than Panmure had expected, the broker said in a note. Brewin shares were trading at 222.90p, up 1.41%, after the group reported its latest numbers, but Panmure suggested the stock price should be 300p in the short term, and 390p in the future, ...