HPH Trust

HPH Trust: UOB Kay Hian maintains Buy but lowers TP to US$0.88. House note that HPH underwent a 20% yoy decline in throughput in Apr-May 13, due primarily to the strike in HIT. However, its Yantian port still outpaced competitors on better efficiency. House cut 2013 DPU forecast by 7% and maintains BUY on attractive yield of 7.0% but lower TP to US$0.88. Downside risk of DPU is quite limited from 2013 onwards given a low base of HIT throughput in 2013 and consistent outperformance of Yantian.