Ezion

Ezion: CIMB downgrades to Neutral from OutPerform with $1.85 TP. House note that after its 149% outperformance against the FSSTI since the start of 2012, Ezion is looking fully valued as house triangulate its valuation against several methodologies. Balance sheet constraints and a resultant lower order momentum could also mean that upside is limited. Downgrade Ezion to Neutral from Outperform. FY12-14 EPS forecasts are trimmed by 2-3% to factor in dilution from recent new share issues. But TP still at blended P/E and P/BV valuations, is lifted as house use the 3-year mean for the P/E basis instead of 1 s.d. below the mean. Would revisit the stock upon higher visibility on funding and larger-than-expected order intake.