Daiwa upgrades VTech Holdings (00303) to Buy Daiwa Securities has upgraded VTech Holdings (00303) from Outperform to Buy and kept its HK$126 price target on the stock. VTech's share price has declined by about 10% over the past three months, greatly underperforming the broader Hang Seng Index, Daiwa says. VTech has reiterated its positive guidance for fiscal 2018 and Daiwa believes concerns over Toys R Us' bankruptcy on VTech's Electronic Learning Platform (ELP) business are overdone. VTech's strong track record, inexpensive valuation and its 7% dividend yield for fiscal 2019 makes VTech an attractive laggard play, the brokerage says.
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