BUY Denway Motors Core Pacific-Yamaichi has assigned a 'buy' rating and raised its full-year net profit estimate by 10.8 per cent to $1.37 billion. Analyst Belle Chan said the Sars outbreak had boosted first-half mainland sedan sales by 76 per cent year on year. She said many people opted to travel by car during the epidemic. As for production costs, the analyst said rising steel and aluminium prices this year had a negligible effect on Denway. She said the metals accounted for very little of overall raw materials costs. Still, she expressed concerns about competition from joint ventures between Japanese carmakers and Denway's mainland rivals. Ms Chan revised her price target to $4.85. SELL Television Broadcasts Daiwa Institute of Research has lowered its rating to 'underperform', citing the stretched valuation for the counter after a surge of 31 per cent over the past three months. Analyst Jenny Szeto said the rise was mainly due to expectations of improved domestic advertising sales in the second half. In addition, investors had been positive on TVB's plans to introduce interactive gambling through a television platform. Ms Szeto expected earnings to be flat this year and 3 per cent lower next year, due to losses from Galaxy Satellite, its soon-to-be launched pay-TV joint venture. Her price target was unchanged at $27.04.