ZTE climbs 5% Citigroup to call in to buy and list as preferred

Earlier, the Hong Kong-Import and Export bank was awarded the billion-dollar amount of ZTE, H shares were significantly improved this morning, and the share price rose 4.73% to HK $27.65, trading 1.838 million shares.　　Citigroup issued a report saying that the unit's rating from sales to buy, and the target price from HK $18.46 to 33 Hong Kong dollars, equivalent to 23 times times the 2009 fiscal year and 18.6 times times the expected earnings ratio of 2010, compared to the market premium of 19%. Citigroup is expected to increase earnings forecasts for the 2009-2010 fiscal Year by 9% to 12% respectively, with earnings expected to grow by 30% and 24% respectively, to reflect the growing share of the local market and the improved product mix that has led to a 30-point increase in operating margins. Citigroup has listed ZTE as the preferred buying stock in Hong Kong's telecoms equipment stocks because of its leading market position in the region and its potential to gain market share from overseas. Moreover, the stock missed the recent rally.