BOCOM International today released its investment outlook report for the second half of this year, which also updated the top 10 recommended stocks. In the Internet sector, Jinshan Software (03888-HK) was sold for profit and included in NetDragon (00777-HK); in addition, Huisheng Engineering (02236-HK) and Agile (03383-HK) replaced Minsheng Bank (01988-HK) and China Taiping (00966-HK).

The report predicts that Agile fell to a low of the past 52 weeks yesterday. The current stock price (with a discount of nearly 70% compared to net asset value is believed to have reflected most of the negative news. In addition, the company will launch about 10 projects in the second half of the year, contract sales will catch up later.

NetDragon will be able to benefit from the mobile gaming and mobile advertising business. The sale of 91 assistants is one potential stock price catalyst. Another newly added Huisheng project is currently valued at 7 times the price-earnings ratio in 2014. Coupled with the NDRC's continuing support for the development of China's coal chemical industry, it is expected that the company's overseas and domestic order volume prospects will be ideal.

The bank's latest top ten recommended stocks, ratings, and target prices are as follows:

NetDragon (00777-HK) /buy/21 yuan

Huisheng Engineering (02236-HK) /purchase/4.5 yuan

Agile (03383-HK) /buy/15.4 yuan

SMIC (00981-HK) /purchase/0.81 yuan

Sanjiang Chemical (02198-HK) /purchase/5.38 yuan

Hengan International (01044-HK) /purchase/90 yuan

Lenovo Group (00992-HK) /purchase/9.2 yuan

Everbright International (00257-HK) /purchase/7.4 yuan

Hilong Holdings (01623-HK) /Buy/5.3 yuan

Guotai Junan (01788-HK) /buy/4.53 yuan

BOCOM International's top ten stocks earlier outperformed the Hang Seng Index by 2,127 basis points. Since December 18 last year, the Hang Seng Index has returned 9.54%, while the Hang Seng Index has fallen 11.73% over the same period.