Deutsche Bank downgraded Aeon (0984.HK) from buy to hold, with an estimated return of less than 15 per cent, including dividends, with a target price of HK $13.50 (equivalent to 14.6 times 10-year earnings). The bank cut Aeon's 2009-11 profit by 19% Mur33% because of its weaker-than-expected gross profit margin in the first half of 2009. Aeon, which runs the department store business, saw its mid-2009 profit fall 49 per cent to HK $55.69 million.

Aeon closed yesterday at HK $12.8.