STOCKS NEWS MALAYSIA-Affin upgrades Malaysia Marine to 'reduce'

Affin Investment Bank upgraded Malaysia Marine and Heavy Engineering Holdings Bhd to 'reduce' from 'sell' and raised its target price to 4.60 ringgit per share from 4.02 ringgit, on optimism about the oil and gas service firm's future contract flow.

"Taken together the 13 percent fall in share price year to date, we think that further downside is limited," the research house said in a note on Tuesday.

Affin raised Malaysia Marine's FY2012-FY2013 contract win assumptions to 3-4 billion ringgit ($980.23 million-$1.31 billion) from 2-3 billion ringgit previously. The brokerage also lifted its FY2013-FY2014 earnings per share forecast by 13-14 percent.

The counter rose 0.62 percent to 4.83 ringgit per share, outperforming the broader index's 0.4 percent rise.

0940 (0140 GMT) (Reporting by Yantoultra Ngui in Kuala Lumpur; ($1 = 3.0605 Malaysian ringgits) (Editing by Jijo Jacob)