UPDATE: Bank of America Merrill Lynch Upgrades Giant Interactive to Neutral, Maintains PT

In a report published earlier today, Bank of America Merrill Lynch upgraded its rating for Giant Interactive Group Inc.

to Neutral and maintained its price target of $6.50. BofA Merrill Lynch said in its report “Giant is managing the transition of its flagship game ZT to extend game life and expand the paying user base. Although we expect this move to benefit the game in the long term, we also see disruption to the growth trajectory and higher near-term uncertainty. We see extending the ZT series and the launch of ZT2 as good for sustainability and for diversification.” Giant Interactive Group Inc. closed yesterday at $5.38.