UPDATE: Deutsche Bank Downgrades Mobile TeleSystems to Hold on Limited Upside to Shares

Deutsche Bank reduced its rating on Mobile TeleSystems

from Buy to Hold and reduced its price target from $21 to $20. Deutsche Bank said, "We have updated our model for MTS. Although we raise our Russian EBITDA margin estimates (and expect strong numbers from MTS on 28 August), the negative factors include weaker RUB forecasts and CIS. Overall, we reduce our estimates and cut our target price by 5% to USD20, which implies that upside potential to our target price is now limited. MTS performed well in 2012, rising by over 30% YTD (strongly outperforming the RTS index). It also now trades at a premium to most of its CEEMEA peers. We therefore downgrade to Hold." Mobile TeleSystems closed at $19.04 on Thursday.