Genting Singapore cut to equal-weight at Morgan Stanley

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KUALA LUMPUR (Feb 26): Morgan Stanley analyst Praveen K Choudhary downgraded the recommendation on Genting Singapore Plc to equal- weight from overweight.

Choudhary lowered the target price to S$1.30 from S$1.40, matching the stock's last close. The target is 12 percent below the consensus average of S$1.47. Genting Singapore had 16 buy recommendations, 6 holds and 0 sells previously.

Investors who followed Choudhary's recommendation would have received a 22 percent return in the past year, compared with the 30 percent return on the shares.

In the past eight years and four months, Morgan Stanley has rated Genting Singapore overweight five times, equal-weight seven times and underweight three times. The shares rose an average 7.7 percent in the periods rated overweight, rose an average 1.8 percent in the periods rated equal-weight and rose an average 4.3 percent in the periods rated underweight.

Analysts raised their consensus one-year target price for the stock by 16 percent in the past six months. Forecasts range from S$1.21 to S$1.81.

Genting Singapore reported earnings and sales that trailed estimates for the quarter on Feb 23.