Hon Hai chairman Gou sees tough year ahead

RETIREMENT? The head of Taiwan’s largest electronics maker said nothing during Hon Hai’s AGM last week about promises he made in 2007 to retire last year

By Kevin Chen / STAFF REPORTER

UBS analyst Arthur Hsieh (謝宗文) also maintained a “buy” rating on Hon Hai with a recommended price of NT$102.

But other analysts were not so positive.

In their research notes released on Friday, Nomura analyst Ellen Tseng (曾雅蘭) downgraded Hon Hai to “neutral” from “buy” with a target price of NT$86, and CLSA analyst Jenny Lai (賴惠娟) reiterated a “sell” rating on the stock and a target price of NT$67.

The two analysts cast doubt on Hon Hai’s growth momentum and said there was limited room for further share-price gains.