CIMB downgrades CityDev (C09.SG) to Underperform from Neutral, cuts target price to $11.08 from $11.46 after marking to market developer’s stake in Millennium & Copthorne Hotels (MLC.LN), says Dow Jones.

CIMB says while M&C’s valuations not demanding at 0.7x P/B, investors likely unwilling to pay up to mean valuations of 0.9x P/B amid current global uncertainties.

Adds CityDev still faces risk of more government intervention to cool Singapore residential market: “While low interest rates may stay for a while more, further upside in physical prices should be capped by the government’s watchful eye.”

Stock +0.4% at $10.94.