Galvan Research has given packaging company Rexam a buy rating, saying that the FTSE 100 firm is a "canny investment".

The broker notes that Rexam's second half performance was more or less in line, as the outperformance in Beverage Cans (driven by tight control of costs) offset continued weakness in Plastic Packaging.

Galvan says that a combination of factors - including an upbeat 2012 outlook, a decent charting picture and the possibility that the underperforming Personal Care division could be divested - mark the shares out as a buy.

"The upside for Rexam should be the current position of the 200-day moving average at 360p," said Galvan's head of research Andrew Gibson.

Shares were trading 0.49% higher at 327.7p just after midday on Thursday.

BC

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