Deutsche Bank cuts Capita call as contact centre outlook darkens

The outsourcing group's shares have risen 40% in a year, but analysts now see technology as a structural threat to its core business. Deutsche Bank has downgraded Capita PLC (LSE:CPI), the London-listed outsourcing group, from 'buy' to 'hold' and cut its price target by a quarter to 300p from 405p, citing growing concern that artificial intelligence is eroding the long-term revenue outlook for its contact centre operations.