UBS upgrades SSP to 'buy', shares spark

(Sharecast News) - SSP Group surged on Tuesday after UBS upgraded the shares to 'buy' from 'neutral', saying it expects the company's focus on cash flow generation to alleviate investor concerns. The bank said the risk/reward was looking "increasingly skewed to the upside" for the Upper Crust and Caffe Ritazza owner.

It pointed to an estimated free cashflow yield of 7.5% in FY26 and three-year earnings per share compound annual growth rate of 14%.

UBS said potential catalysts for the stock include share buybacks and potential value crystallisation from Indian operations.

At 1520 GMT, the shares were up 6.2% at 201.40p.