Piper Jaffray Raises Giant Interactive PT To $9

This morning, Piper Jaffray said that it maintains its Overweight rating on Giant Interactive Group GA and raised its PT from $8.50 to $9 (8.7x CY11E EPS plus cash) on higher cash balance. “GA's games displayed solid QoQ growth, with APA and ARPU rising 4.3% and 1%, respectively, to 1.497M and Rmb 225,” Piper Jaffray writes. “We understand ZT2 is tracking well, and believe the game will have little cannibalization effect on the rest of the ZT franchise. We continue to recommend the shares in advance of ZT 2 launch in early 2011.” Giant Interactive currently trades at $6.87.