Tiger: Post results brief, Citi cuts TP to $0.65 from $0.83, based on 2x FY13E P/B (previously 8.5x Sep 2012E adj EV/EBITDAR), better reflects concerns over Tiger’s weak balance sheet and high earnings volatility over the next 2 years. Reiterates Sell. Says, the market hasn’t fully understood the earnings impact from the eventual re-commencement of Tiger’s Australia services, and expects Tiger’s share price to correct significantly on the back of earnings disappointments, operational uncertainties, and gearing worries. Sees the current de-rating of Tiger as a longer-term structural down trend.
CIMB also downgrades to Underperform from Trading Sell, cuts TP to $0.54 from $0.71.
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