MIMB downgrades Swee Joo in wake of Q1 loss

MIMB Investment Bank Bhd has downgraded Swee Joo Bhd (5119) to "sell" from "buy", after the shipping firm posted a first-quarter net loss of RM3.76 million.
It also lowered its price target to 48 sen from RM1.20 to reflect its concern over Swee Joo's deteriorating net gearing ratio which shot up to two times from 1.93 times a year ago, as the company embarked on aggressive capacity building exercise previously.