Cosco Corp target cut to 43 cents from 50 cents by Maybank Kim Eng

Stock Name: Cosco
Company Name: COSCO CORPORATION (S) LTD

Research House: Maybank Kim Eng

Price Call: SELL

Target Price: 0.43

SINGAPORE (Feb 17): Maybank Kim Eng has cut its price target for Cosco Corp from 50 cents to 43 cents, citing pessimism over the company's poor execution expected this year amid a weak offshore and ship building market.

Cosco recently reported FY14 earnings of $20.9 million, down 31.8% y-o-y.

While it posted a higher-than-expected gross margin in 4Q2014, this will not be sustainable, according to Maybank Kim Eng analyst Yeak Chee Keong, who has a "sell" call in the stock.