Stock Upgraded: China Fish rating to hold by DBS Equity Research!

DBS Equity Research has changed its rating on China Fishery Group (CFG) to "hold" from "buy", saying the stock is now trading above its assumed fair value of 3.28 sgd. "We see that most of the positive expectations has already been priced into the share price and is currently trading above our target price," DBS said in a note to clients. "We believe that on current valuations CFG is slightly stretched trading at 14 times and 11 times 2006 and 2007 prospective price-earnings ratio, a slight premium to worldwide fishing peers," it said. "In the short term, we recommend to take profit on CFG and switch to (parent) Pacific Andes Holdings (which is) offering a cheaper valuation as its trading only at nine times 2007 prospective PE ratio," it said. At 9.38 am, CFG was down 0.10 sgd or 2.79 pct at 3.48 with 131,000 shares traded.