Hi-P cut to 'sell', target slashed 40% to 43 cents by RHB

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: RHB

Price Call: SELL

Target Price: 0.43

SINGAPORE (May 11): RHB Securities Singapore has downgraded Hi-P International to "sell" from "neutral" and slashed its price target to 43 cents from 72 cents, citing a "gloomy" outlook for the contract manufacturer.

The revised target is based on 0.6 times FY2015 book value.

RHB also lowered its FY2015 earnings estimate for Hi-P by 54%.

"We understand that the Xiaomi project turned out to be unsuccessful, with prices slashed, cutting margins drastically despite reaching its targeted production yields," RHB analysts Jarick Seet and Terence Wong wrote in a note.

Hi-P International cut to "neutral", target cut to 72 cents by OSK DMG

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: OSK-DMG

Price Call: HOLD

Target Price: 0.72

SINGAPORE (Feb 17): OSK DMG has downgraded Hi-P International to "neutral" from "buy" and cut its price target to 72 cents, pegged at parity to FY2015 book value, from 87 cents.

While the contract manufacturer's 2014 earnings rose 63.5% to $10.5 million, the improvement was largely due to one-off items, such as insurance claims, OSK DMG analysts Jarick Seet and Terence Wong said in a report, noting that its net profit would be only $1.4 million without these exceptional items.

Hi-P kept at "buy" with 87-cent target by DMG

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: OSK-DMG

Price Call: BUY

Target Price: 0.87

SINGAPORE (Jan 30): DMG & Partners is keeping its "buy" call and 87-cent price target for Hi-P International, saying the contract manufacturer is expected to benefit from a ramp-up in production of the YotaPhone 2, the world's first dual-screen smartphone.

Available in most parts of the world this quarter, the phone consists of an LCD screen on the front and a Kindle-like screen on the back, with improved sensitivity for a better reading experience.

Hi-P International kept at 'buy' with 87 cents price target by OSK-DMG

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: OSK-DMG

Price Call: BUY

Target Price: 0.87

SINGAPORE (Nov 20): OSK-DMG is maintaining its "buy" call on Hi-P International with a 87 cents price target.

In a Nov 20 report entitled YotaPhone 2 Meets Xi Jinping, analysts Jarick Seet and Terence Wong that the original design manufacturer (ODM) partner for the dual-screen YotaPhone 2, the stock should benefit from the ramping up of its production.

Hi-P kept at 'buy' with 87 cents target price by DMG

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: OSK-DMG

Price Call: BUY

Target Price: 0.87

SINGAPORE (Nov 5): DMG Research is maintaining its "buy" call on integrated contract manufacturer Hi-P with a target price of 87 cents.

In a Nov 5 report by Jarick Seet and Terence Wong, the analysts believe that Hi-P's turnaround is firmly in place, net loss has narrowed significantly and expect Hi-P to outperform in 4Q.

DMG downgrades Hi-P to 'sell' from 'neutral'

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DMG

Price Call: SELL

Target Price: 0.59

DMG & Partners downgraded electronics contract manufacturer Hi-P International to ‘sell’ from ‘neutral’ and cut its target price to $0.59 from $0.74, citing a negative impact from weaker-than-expected demand for Apple's iPhone 5.

By 9:55 a.m., Hi-P shares were down 3% at $0.80, but have gained 32% since the start of the year, compared with a 26.7% rise in the FTSE ST Industrials Index.

DMG slashed its 2012 and 2013 earnings estimates for Hi-P by 51% and 48.6% respectively, as it expects demand for Apple's iPhone 5 may fall "drastically" next year due to rising competition from Android and Windows phones.

“Thought to be a proxy to Apple’s iPhone 5, we believed that Hi-P now has been overwhelmed by how fast things have changed in the technology industry," said DMG in a note.

Hi-P also invested $300 million in a Chinese plant, of which a large part of the production capacity was dedicated to Apple. However, Hi-P may be hurt as Apple shifts more production back to the U.S., DMG noted.

DMG says Hi-P is top pick for tech sector

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DMG

Price Call: BUY

Target Price: 1.28

DMG & Partners Securities said it continues to favour Hi-P International, which supplies parts to companies such as Apple Inc, as the top pick in the Singapore technology sector.

On Tuesday, Hi-P shares were up 0.5% at $1.065. The stock has surged 76% so far this year versus the 23% gain in the FT ST Small Cap Index.

Apple booked orders for over two million iPhone 5 models in the first 24 hours, reflecting a higher-than-expected demand for the consumer device giant’s new smartphone and setting it up for a strong holiday quarter.

“Despite some criticism over the lack of the ‘wow’ factors, we remain bullish over the demand for iPhone 5 as we have consistently argued that, rather than competing purely on hardware specifications, Apple focuses on providing a better and holistic user experience,” DMG said.

The broker has a ’buy’ rating and $1.28 target price on Hi-P.

Hi-P International rated 'hold' by DBS

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DBS Vickers

Price Call: HOLD

Target Price: 0.95

DBS Vickers Securities in an Apr 16 research report says: "1Q12 guidance raised on better sales and more efficient cost controls. Instead of a flat revenue y-o-y, Hi-P now expects 1Q12 revenue to grow on higher than expected traction from a wireless customer towards late March.

"Higher sales coupled with tight cost controls will also result in a small net profit instead of a loss as previously guided. While positive, the impact to FY2012F earnings is marginal. We are currently projecting net profit of $66 million (+48% y-o-y) for 2012.

"As Hi-P's new processes and automation mature and impact of critical mass kick in, margin recovery in 2H12 should be healthy, in our view. Target price of 95 cents. MAINTAIN HOLD."

Hi-P jumps as earnings rebound eyed

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DBS Vickers

Price Call: BUY

Target Price: 0.95

Shares of Singapore’s Hi-P International rose as much as 6.5% after brokerage DBS Vickers upgraded the stock, citing increased market share and an expected earnings recovery this year, reported Reuters.

By 10:34 a.m., shares in Hi-P, a supplier of electronic parts for companies including Apple and Blackberry maker Research In Motion, were up 5.2% at $0.81, the highest since August. Trading volume of more than 1.25 million shares was 2.3 times the average full-day volume traded over the last 30 days.

DBS Vickers upgraded the stock to buy from fully valued and raised its target price to $0.95 from $0.43.

DBS Vickers said with net cash of $201 million at the end of the third quarter of 2011, Hi-P can comfortably maintain a 40% dividend payout, translating to a yield of 3-5%.

DMG upgrades Hi-P to buy; target $0.79

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DMG

Price Call: BUY

Target Price: 0.79

DMG & Partners has upgraded Singapore’s Hi-P International (HIPI.SI), which makes electronics products for Apple (AAPL.O) and Blackberry maker Research In Motion (RIM.TO), to buy from neutral and raised its target price to $0.79 from $0.62.

DMG said Hi-P had experienced a slowdown in orders and margin compression as its largest customer RIM had reported a series of disappointing results. RIM had also announced a delay in the launch of its Blackberry 10 smartphone, DMG added.

However, moving forward, DMG expects Hi-P to receive more orders from Motorola and Apple, which would more than cover RIM’s slowdown.

At 10:42 a.m., Hi-P shares were up 3.2% at $0.64. The stock fell 41%last year.

Hi-P International rated 'fully valued' by DBS

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DBS Vickers

Price Call: SELL

Target Price: 0.44

DBS Vickers Securities in an Oct 24 research report says: "Hi-P warns that net profit in 3Q11 would be lower than 2Q11, compared to previous guidance of q-o-q growth. Despite the likelihood of higher volume in 4Q11, the rebound is insufficient to offset YTD earnings decline.

"We therefore cut FY2011/2012F estimates by 11.7% and 2.6%. Although Hi-P's stock price has fallen in excess of 50% from its peak in Feb this year, valuation is not exactly compelling at < -1SD PE on FY12 earnings whereas the barometer STI has corrected close to -1.5SD FY12 PE.

"In view of still uncertain outlook, Hi-P's share price may not have fully priced in all earnings risks. Target price of 44 cents based on 5.5x FY12 PE (-1SD). MAINTAIN FULLY VALUED."

DBS Vickers (Spore) Daily Focus 4 July 2011

Stock Name: Kep Corp
Company Name: KEPPEL CORPORATION LIMITED

Research House: DBS Vickers

Price Call: BUY

Target Price: 13.55

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED

Research House: DBS Vickers

Price Call: HOLD

Target Price: 1.28

Stock Name: MIDAS
Company Name: MIDAS HLDGS LIMITED

Research House: DBS Vickers

Price Call: BUY

Target Price: 1.05

Comments
Keppel Corporation: BUY; S$11.08; Price Target: 12-Month S$13.55; KEP SP,
Keppel Corp: AOD exercises its first of 2 options

Hi-P International: HOLD; S$1.00; Price Target: 12-Month S$1.28; HIP SP
Hi-P warns that Q2 earnings would be lower q-o-q on lower sales and higher
costs


Highlight
Midas Holdings: BUY; S$0.65; Price Target: 12-Month S$1.05 (Prev S$ 1.10);
MIDAS SP
Expect a more bountiful 2nd half

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Hi-P International downgraded to 'hold' by DBS

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED
Research House: DBS Vickers

DBS Vickers Securities in a May 4 research report says: "Hi-P reported bottomline of $17.9 million, from $14 million net loss last year. Excluding $0.8 million one-offs and $5.4 million higher depreciation of PPE due to the change in accounting estimate, core profit would be $24 million, above our $19 million projection.

"Sales of $243 million were 66% higher y-o-y - in line with our projection. Gross margin improved significantly to16.3% from 4.4% in 1Q10, benefiting from economies of scale, effective cost control and better product mix. Hi-P generated $47 million FCF in 1Q as cash cycle shortened to 41 days from 44 in 1Q10.

"As a result of our earnings forecast cut, target price is revised down to $1.28, still based on 11x FY2011 PE. However, upside has now narrowed to 9%. DOWNGRADE TO HOLD."

Hi-P International rated 'buy' by UOB KayHian

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED
Research House: UOB KayHian

UOB KayHian in an Apr 1 research report says: "The earthquake in Japan has not affected the supply of plastic resins. According to management, Hi-P is in the midst of negotiating a price reduction with suppliers of plastic resins.

Read more...

Credit Suisse upgrades Hi-P to outperform; 4Q beats consensus

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED
Research House: Credit Suisse

Credit Suisse upgrades Hi-P International (H17.SG) to Outperform from Neutral and raises its target to $1.40 from $0.75. 

It says the firm’s 4Q10 results, with revenue +102% on-year/+20% on-quarter at $343.8 million, and net profit +715% on-year/+8.0% on-quarter, at $35.9 million, were ahead of consensus and its estimates, largely due to stronger-than-expected margins. 

“Gross margin improved to 23.9%, driven by the ramping up of new programs in 4Q. Hi-P’s balance sheet remains strong at $211 million net cash ($174 million at end 3Q), and management announced a dividend of 3.6 cents (+20% on-year).” 

The house expects Hi-P’s smartphone and media-tablet programs to gain traction in FY11, and has raised its FY11/FY12 earnings forecasts by 51%/42% on the back of stronger volume growth and margin outlook. 

“Going forward, we see Hi-P as well-leveraged into two core themes in our tech portfolio -further momentum in smartphone demand (in 1H11) and media-tablets as a key new product cycle starting 2H11.” 

Shares are up 1.8% at $1.13.

Hi-P - Hi-P International rated 'buy' by DBS

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED
Research House: DBS Vickers

DBS Vickers Securities in a Jan 17 research report says: "According to revised guidance, the group revenues are expected to increase in 4Q10 over 3Q10, compared to the original guidance for flat sales q-o-q. We had conservatively expected 4Q10 PATMI of $30 million compared to $33 million in 3Q10.

Read more...

Hi-P - Hi-P upgraded to Buy by DMG, raised target to $0.97

Stock Name: Hi-P
Company Name: HI-P INTERNATIONAL LIMITED
Research House: DMG

DMG upgrades Hi-P (H17.SG) to Buy from Neutral, lifts target price to $0.97 from $0.595 after increasing FY10-11 earnings forecasts by 19.5%-25.0% to assume stronger business, says Dow Jones.



DMG notes contract electronics manufacturer counts Research In Motion, Apple as key clients. Says 2Q10 earnings of $12.4 million, vs $14.2 million loss in 1Q10, above market expectations.

“We anticipate that this bullish momentum would pick up steam further in 2H with Hi-P ramping up its utilisation rate as more orders for the manufacturing of BlackBerry smartphones and Apple iPads flow in,” says DMG.



Shares +2.6% at $0.80.