Yongfengjin Securities first gave China Iron Titanium (0893.HK) a better rating than the general market price, with a target price of HK$7.20 (equivalent to 25 times the price-earnings ratio in FY10); China Iron and Titanium achieved rapid growth in revenue and profit in 2006-2009, with a compound annual increase of 70% in revenue and 132% compound annual profit, thanks to the expansion of production capacity and the rise in iron ore prices. Yongfengjin believes that the geographical advantages of China's iron and titanium have been demonstrated and will continue to play a critical role in its rapid development in the future. The stock fell 0.91% yesterday to close at HK$5.44.