HOLD Starlite Holdings Closing price: $0.91 Target price: $0.96 Share price performance (%) 1wk: 9.63 3mths:4.54 1mth:22.66 1yr:109 The stock's rating was downgraded to 'hold' as it was now fully valued, analyst Niki Chu said. Still, she remained upbeat on the firm. 'Looking forward, given the growing demand for paper products and packaging printing, we expect strong sales in the future [for the firm],' she said. Starlite recently announced results for the six months to September with net profit up 21 per cent at $36 million. Sun Hung Kai Financial Group HOLD Cathay Pacific Airways Closing price: $14.90 Target price: $15 Share price performance (%) 1wk: 0.66 3mths:10.37 1mth:2.93 1yr:27.35 With passenger and cargo travel on the upswing, earnings estimates for the airline have been raised by 63 per cent to 90 cents per share for next year. The target price for the stock was upgraded by 36 per cent to $15 at a prospective price-earnings ratio of 16.7 times, said Chin Lim and Jacqueline Kuek. However, they have maintained an 'equal-weight' rating on the airline as 'we believe the stock is fairly priced at its mid-cycle earnings value', they said. Morgan Stanley BUY Citic Pacific Closing price: $17.80 Target price: $18.86 Share price performance (%) 1wk: 1.11 3mths:7.16 1mth:1.64 1yr:17.32 The rating for the red-chip conglomerate has been upgraded from 'hold' to 'add' due to its higher value and yield. Analyst John Godfray said the firm's Wuxi power station acquisition would help ease the loss of income generated from other projects previously sold back to the mainland. He said investors might be relieved to see Citic not rushing to spend the proceeds from the disposals. ABN Amro
