Broadway: CIMB upgrades to Trading Buy from Underperform. Note that recent resilient share price suggests that investors may be counting on an earnings recovery in 3Q12, underpinned by a turnaround of its component business. Positive news flow from the HDD sector should drive trading interest in the coming quarters.
FY11 core earnings ($10m) were below consensus and forecast of $14.9m due to lower-than-expected sales. House cut FY12-13 forecast, but raise TP to $0.55 as the mkt appears to have priced-in a weak 1H12.