Credit Suisse lowered Singapore-listed shipping firm Neptune Orient Lines target price to S$1.20 from S$1.23 previously, but maintained its neutral outlook, Reuters reports. Credit Suisse said Nepture's third quarter net loss of $91 million was lower than its expectation of $106 million,from a year ago.
The brokerage cut its net profit forecast for NOL in 2012 and 2013 by 7 and 17 percent respectively to factor in weaker freight demand.
However, Credit Suisse said that it sees the price-to-book ratio as 80 percent below its current market price, reflecting weak earnings propects.
Credit Suisse also said Nepture Orient Lines faces competition from cheaper stock options in the sector.
At 0255 GMT, shares of NOL were down 2 percent at S$1.12, and have fallen about 49 percent since the start of the year.
The brokerage cut its net profit forecast for NOL in 2012 and 2013 by 7 and 17 percent respectively to factor in weaker freight demand.
However, Credit Suisse said that it sees the price-to-book ratio as 80 percent below its current market price, reflecting weak earnings propects.
Credit Suisse also said Nepture Orient Lines faces competition from cheaper stock options in the sector.
At 0255 GMT, shares of NOL were down 2 percent at S$1.12, and have fallen about 49 percent since the start of the year.