Ma Steel shares rose 5% but HSBC securities have been positive to reflect

The shares of MA Steel, which have climbed 4.76% to HK $4.84 and traded 35.96 million shares, have surged today to outperform peers and the city.　　The HSBC Securities report said it lowered its rating from overweight to neutral, but targeted prices rose from HK $4 to HK $5.2, a premium of 7% per cent on the market. HSBC securities, the forecast for the 2009 fiscal year will be a net profit of 728 million yuan, a 2.5% increase from the previous year, because the cost (including raw materials and energy costs) is enough to offset the impact of falling product prices. But after a surge in share prices, most good news has been reflected. While the company has benefited greatly from China's fiscal stimulus, orders in the second quarter have improved slightly from late last year, while demand for steel and automotive steel has improved, but it is also facing the risk of oversupply in flat steel, which is also beginning to accelerate growth.