Singapore stock related report :

Daiwa Institute of Research initiate coverage with outperform rating on singapore stock C&O Pharmaceutical Technology :

We initiate coverage of C&O Pharmaceutical Technology
(C&O) with a 2 (Outperform) rating and six-month target price
of S$0.58, based on a 14x PER on our 12-month earnings
forecast to 3Q FY08 (ie, 1Q08), in line with those of other China
pharmaceutical companies listed in Singapore. We expect a
recovery in earnings growth to lift the share-price performance
over the next six months.

We expect C&O to emerge from its current transition to record a
net profit to HK$153.2m for FY08, up 97% compared with
FY07 and 30% compared with FY06. We also forecast the
company to record 16-22% YoY earnings growth for FY09 and
FY10, backed by strong demand for its own-brand products,
expansion of its imported product portfolio, and reduced
competition.