HOLD Yanzhou Coal Mining Closing price: $7.60 Target price: $7 Share price performance (%) 1wk: 0.65 3mths:25.21 1mth:1.36 1yr:131 Analyst Helen Wang initiated coverage with a 'hold' rating, saying the valuation of the stock at 14.4 times this year's earnings has fully reflected the improved sentiment from the rebound in coal prices prompted by steady supply growth. But in addition, she warned that the firm's long-term earnings visibility remained weak. She said it was now operating at its full capacity but lacked a long-term strategy. DBS Vickers Securities BUY Jiangxi Copper Closing price: $4.35 Target price: $5.85 Share price performance (%) 1wk: 2.79 3mths:52.38 1mth:4.19 1yr:266.9 S&P has initiated coverage with a 'buy' recommendation in the hope of a sustainable cyclical upswing for copper and gold prices this year. On heavy China demand, global economic recovery, lack of new supply capacities and the weakening US dollar, copper and gold prices had surged 47 per cent and 20 per cent respectively last year. But with consumption likely to exceed production worldwide this year, prices for both metals were expected to rise, S&P said. S&P's Asian Equity Research HOLD Hong Kong and China Gas Closing price: $12 Target price: $12 Share price performance (%) 1wk: 0.41 3mths:13.08 1mth:4.31 1yr:19.8 The rating was downgraded to 'neutral' after it outperformed the Hang Seng Index in the past three months, but analyst Edmond Lee expected a slight upside on more positive news about the company's gas projects from China. The firm had secured two more projects in the mainland. On hopes of higher property earnings from its projects in Sai Wan Ho and Ma Tau Kok, Mr Lee raised his profit forecasts by 6 per cent for this year and next. JP Morgan
