[ET Net News Agency, 13 June 2018] Credit Suisse raised its target price for Shenzhou
International (02313) to HK$103 from HK$98, and retained its "outperform" rating.
The research house said protest in Vietnam from Saturday (9 June) has spread to areas
where Shenzhen has its fabric production facilities. Based on Credit Suisse's checks,
garment production has been immune to the protest, and the current fabric inventory is
sufficient to maintain the production schedule.
Credit Suisse believes there is no financial impact on Shenzhou at this moment, and the
protest is likely to end soon. Level of severity is also much less than that of the
previous protest due to China-Vietnam frictions.
It raised its 2018/19 EPS forecasts by 3.6%/4.8% on more favourable exchange rate. (KL)