Foxconn: my emphasis added

m-x:

Foxconn’s shares were down 8.3% at the midday break in Hong Kong.

Morgan Stanley advised investors to stay away from the company’s shares because profit margins are likely to remain under pressure before it can shift production to lower cost centers.

Morgan Stanley also said the company’s forecasts for improvement in the current half-year did not take into account likely higher labor costs.

Ten workers at Foxconn’s Shenzhen factory jumped to their deaths earlier this year, sparking a review of working conditions and pay rates.

“We believe Foxconn’s second half 2010 losses might narrow, but a turnaround might be delayed to 2011, at the earliest,” wrote Morgan Stanley analysts in the note.

Néha elfelejtem, hogy miért okoz lelki nehézséget tőzsdei híreket írni - hát ezért. FUJ

Source: m-x