Credit Suisse maintains a stronger 0733.HK rating than the broader market, with a target price of HK $4.40.

The company's interim results were lower than expected, with first-half net profit rising 27 per cent from a year earlier to HK $75.54 million, accounting for just 38 per cent of the 2011 fiscal year net profit expected by analysts polled by Thomson Reuters. Credit Suisse said operating margins in the brilliant secondary market fell sharply to 2.2 per cent from 6.7 per cent a year earlier, mainly due to more severe market conditions. The company increases the proportion of commercial real estate agency business in the secondary market to boost revenue and profit margins, which is expected to improve in the second half of the year.

Hefu brilliant closed at HK $2.60 yesterday.