* Pan-European FTSEurofirst 300 up 0.3 pct
* Roche advances on encouraging update
* Real estate shares gain on positive note
By Atul Prakash
LONDON, June 1 (Reuters) - European equities rose in late trading on Monday, with Roche leading drug stocks higher following an encouraging company update and real estate shares getting some support from a positive sector note from JP Morgan.
Shares in Roche rose 2 percent, helping the European healthcare index to rise 1.1 percent, after the drugmaker's cancer immunotherapy drug Atezolizumab was found to reduce tumors in two thirds of lung cancer patients when combined with chemotherapy.
The STOXX Europe 600 real estate index rose 1 percent, with traders attributing the rise to a positive note by JP Morgan, raising it target price for stocks of companies including British Land, Great Portland and Land Securities, up 0.8 to 1.4 percent.
"We ... maintain our preference for higher growth potential markets in the UK, Ireland and Spain," JP Morgan analysts said in the note, adding that they saw a 9.7 percent upside potential for the sector.
The FTSEurofirst 300 index of top European shares was up 0.3 percent at 1,589.86 points by 1423 GMT after shedding 2 percent the previous week. The index is still up about 16 percent so far this year.
Gains, however, were capped by a decline in energy stocks after crude oil prices fell on expectations that OPEC production would remain high, stoking worries of oversupply. The European oil and gas index fell 0.6 percent.
Investors kept a close eye on Greece, which missed a self-imposed Sunday deadline for reaching an agreement with its international lenders for a cash-for-reforms deal, giving investors reason for caution. Without a deal Athens risks default or bankruptcy in weeks.
But some analysts remained optimistic.
"We are hopeful that in the end there will be a deal. It may not be what either party really wants, but the only possibility is a compromise," Lorne Baring, managing director of B Capital Wealth Management, said. "We are seeing some fatigue, but still constructively bullish for equities."
Among other movers, shares in Vestas Wind declined 4.8 percent, the top fallers on the FTSEurofirst 300, after Citigroup analysts downgraded the stock to "sell" from "hold".
"Vestas' growth profile does not appear as compelling as the cap goods sector," the analysts wrote in a note.
Europe bourses in 2015: link.reuters.com/pap87v
Asset performance in 2015: link.reuters.com/gap87v
Today's European research round-up (Additional reporting by Francesco Canepa and Liisa Tuhkanen; Editing by Toby Chopra)