New group now falls 1.7% Citi downgrade to hold

The newly created group (00659-HK) is now down 1.7%, at HK $16.22, for a deal of HK $2.2583 million, which is now running out of the big city, with a 2.81% rise in the index.　　Citigroup downgraded the shares from buying to holding, but set the target price from HK $12.25 to HK $17.70, a composite premium of around 20% per cent, before using average valuations in the middle of the cycle as a benchmark to reflect improved sentiment around the world. The bank has been bullish on the stock because of its flexible income base, its leading position in the industry, strong orders and, given the problems of the broader market, the unit has been doing well so far. But after a recent strengthening, the bank believes that the stock is currently digesting too much good news, can not maintain the buying rating. Added that the current valuation of the unit is equivalent to 1.5 times times the value of the 2010 fiscal year, with a longer average premium of 24%.