[ET Net News Agency, 12 September 2017] CICC Research downgraded FIT Hon Teng (06088)
to "hold" from "buy" after a 47% rally since 13 July, and maintained its target price
unchanged at HK$6.02.
The research house said it still likes FIT as a good proxy for Hon Hai's cloud & auto
transformation, but its current share price fairly reflects its current business. CICC
suggested that investors take profit and wait for additional catalysts to materialize,
such as as auto M&A and product expansion in Apple's 2018 product cycle.
It said the stock is trading at 27.1x/21x 2017/18 P/E, in line with its peers. (KL)