Italian jeweller Bulgari BULG.MI rises more than 3 percent after HSBC upgrades the stock to "neutral" from "underweight" and lifts its target price to 5.90 euros from 4.60 euros.
HSBC says in a note the Rome-based maker of jewellery, watches, accessories and perfumes is "no longer underperforming in Asia ex Japan and managing costs more effectively."
It adds that the stock is no longer overvalued.
At 1023 GMT, Bulgari shares are up 3.2 percent at 5.71 euros. The FTSE Mib .FTMIB is up 1.1 percent.
"Bulgari is gaining on the HSBC upgrade. It had fallen a lot and now it is being taken up again with interest," one trader says.
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