Yongnam

Yongnam: UOBK downgrades to Hold from Buy as 2012 contract wins have been slow. Notes Yongnam's ytd contract wins are $138.1m, compared with > $200m by this time last year; says its previous forecast of $325m in 2012 contract wins now seems too aggressive, cutting it to $260m and $300m for 2012 and 2013 respectively. UOBK cuts TP to $0.27 from $0.40 after lowering 2012-13 earnings forecasts to factor in a lower contract-win estimate. Adds, while mgt is positive on Yongnam's outlook, it highlighted strong competition may impact margins. Technically, the stock has traded sideways since July 2009 and would need to break above immediate resistance at $0.25 for further upside. UOBK tips support at $0.22. The stock is down 2.1% at $0.23 in solid volume.