UBS has downgraded China COSCO Holdings (SHA:601919, HKG:1919) from "Neutral" to "Sell" and lowered its price target for the stock from HK$4.34 to HK$4.05.

UBS says that, after recent rally, China COSCO is no longer cheap, as it has approached a P/B ratio of 1x. The brokerage believes that downside risks exist to the company's share price considering the company's still severe loss making situation in 2012.