UPDATE: Citigroup Reiterates Buy Rating, Raises PT for hiSoft Technology

In a company update published earlier today, Citigroup Inc. reiterated its Buy rating for hiSoft Technology International Limited HSFT and raised its price target from $18.00 to $20.00. Citigroup went on to say “1Q shows an improving margin and growth in high valued-added segments. 2012-14E estimates raised, taking our PEG-based TP to US$20 (from US$18) based on PEG of 0.5x supported by 33.2% Non GAAP NI CAGR. A possible "re-coupling" of the China IT service valuations to the global comps (trading on a PEG of 1.0x) offers further medium-term support to our Buy recommendation.” hiSoft Technology International Limited closed yesterday at $15.29.