TMCnet News
[I-bank focus]Citi lowers China Telecom (00728) to "sell" [ET Net News (China)](ET Net News (China) Via Acquire Media NewsEdge) [ET Net News Agency, 31 October 2014] Citi Research retained its price target for China Telecom (CT)(00728) at HK$4.3, but downgraded the stock to "sell" from "neutral" after a share price rally post the 3Q results. The research house said delayed FD-LTE licensing and a regulatory requirement that all 4G smartphones need to support TD-LTE are negative for CT, impacting the operator's network build-out pace and smartphone supply. Nor will a tower company significantly reduced capex pressure in the coming two years. Citi expects more negative 4G capex surprises for CT in the next two years than for China Mobile and China Unicom, as it builds out new base station towers and its transmission network. (KL) (c) 2014 ET Net Limited. All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info). |