Valuetronics hit by earnings worries?

Singapore

THE stock of electronics company Valuetronics Holdings on Tuesday collapsed six cents, or 15.8 per cent, to 32 Singapore cents on heavy volume of 26.3 million shares, an apparent casualty of concerns over its future earnings.

Some observers attributed the selling to a "sell" report issued on Monday by Maybank Kim Eng (MKE) that set a 25-cent target price (TP). However, others questioned why one "sell" report could have that much influence when there are other, current "buy" recommendations in circulation.