Taiwan stocks ended down 0.69 percent on Tuesday, with HTC Corp plunging by the maximum daily limit after the smartphone maker was downgraded by some brokerages. Fund managers said HTC shares would consolidate for a while after the company gave a neutral forecast for second-quarter sales on Friday. Credit Suisse and HSBC downgraded HTC on Monday to "neutral" and "underweight", respectively.
Credit Suisse said it saw a likely interruption in consensus upward revisions given street estimates have been raised by 40 percent in the past six months. The main TAIEX index closed 61.79 points lower at 8,946.08, led by losses in the electronics and tourism sectors which fell 0.8 percent and 4.4 percent, respectively.
Quanta Computer Inc, the world's top contract laptop maker, jumped 2.3 percent. Local newspapers reported that the company had won new tablet orders from Amazon.com Inc, quoting Amazon's suppliers. The orders may contribute more than T$100 billion in revenue to Quanta's full-year income. Top electronics parts maker Hon Hai Precision Industry dropped 2.3 percent after reporting unconsolidated net profit fell 20 percent in the first quarter.