Global Telecoms

ZTE shares fell 1.3% to HK $26.6 this morning, trading 675,300 shares.　　Citigroup issued a report saying it reiterated the buying rating of the unit, with a target price of HK $33, which is 24% higher than the market price. Citi is still bullish on ZTE because its short-term earnings growth (2009/10 30%/25%) is guaranteed by growth in domestic capital spending while benefiting from the integration of the global telecoms equipment industry. Citigroup also said price competition remains fierce, but gross profit is expected to remain stable, thanks to the product line common parts share (ZTE based on WCD ...).

Global telecoms operators have seen a "pan-media" trend in recent years: Vodafone's bid for the largest television operator in Germany, Kabel Deutschland,at&t, is trying to put the US online video site Hulu under its wing, NTT DoCoMo also the MCV in the area of the television broadcast right to buy down, BT is desperately to build its own sports channel sport ... Why are telecom operators in Europe, Asia and North America suddenly doing the same thing? Because everyone is facing a phase ...

ZTE shares fell 1.3% to HK $26.6 this morning, trading 675,300 shares.　　Citigroup issued a report saying it reiterated the buying rating of the unit, with a target price of HK $33, which is 24% higher than the market price. Citi is still bullish on ZTE because its short-term earnings growth (2009/10 30%/25%) is guaranteed by growth in domestic capital spending while benefiting from the integration of the global telecoms equipment industry. Citigroup also said price competition remains fierce, but gross profit is expected to remain stable, thanks to the product line common parts share (ZTE based on WCD ...).