Credit Suisse first outperformed Citi Telecom (1137.HK) with a target price of HK$7.10 based on the discounted cash flow model. The bank said that in the past three years, Citi Telecom's residential broadband business has developed significantly in terms of user market share. Thanks to its investment in fiber access technology and strong pricing strategy, its market share in December 2007 was only 13%, but by December 2010, its market share had soared to 24%. Credit Suisse said that until now Citi Telecom has sacrificed average revenue and profit margin per user to achieve scale growth, but Credit Suisse believes this situation will change because its management knows that its business focus has shifted more to profitability. The stock rose 1.06% yesterday to close at HK$5.74.
瑞士信贷首予城市电讯(1137.HK)跑赢大市评级，看7.10港元
Credit Suisse gave City Telecom (1137.HK) the first to outperform market ratings, looking at HK$7.10
The translation is provided by third-party software.
The above content is for informational or educational purposes only and does not constitute any investment advice related to Futu. Although we strive to ensure the truthfulness, accuracy, and originality of all such content, we cannot guarantee it.