NOL target price cut by Credit Suisse

Stock Name: NOL
Company Name: NEPTUNE ORIENT LINES LIMITED

Research House: Credit Suisse

Price Call: HOLD

Target Price: 1.20

Credit Suisse lowered shipping firm Neptune Orient Lines target price to $1.20 from $1.23 previously, but maintained its neutral outlook.

Credit Suisse said Nepture’s third quarter net loss of US$91 million ($114 million) was lower than its expectation of US$106 million,from a year ago.

The brokerage cut its net profit forecast for NOL in 2012 and 2013 by 7 and 17% respectively to factor in weaker freight demand.

However, Credit Suisse said that it sees the price-to-book ratio as 80% below its current market price, reflecting weak earnings propects.