China Mobile Ltd., the world's biggest phone company by market value, fell the most in more than two weeks in Hong Kong trading after JPMorgan Chase & Co. and DBS Vickers Ltd. cut their investment ratings on the stock.

China Mobile dropped 4.1 percent to HK$92.55 as of 11:03 a.m., the biggest retreat since Aug. 12, extending the stock's decline this year to 33 percent. Hong Kong's benchmark Hang Seng Index fell 1 percent today.

JPMorgan reduced its rating on China Mobile to ``underweight'' from ``overweight,'' while DBS Vickers downgraded the shares to ``hold'' from ``buy.'' The brokerages both cited concerns that China Mobile's profit growth may slow because of cuts in call charges and an expected increase in competition.

The company `` is guiding lower ARPU going forward as tariffs decline and new customers join at lower price points,'' JPMorgan analyst Jimmy Cheong wrote in a report today. Average revenue per user, or ARPU, fell to 84 yuan per month in the first half, from 88 yuan a year earlier, China Mobile reported yesterday.

Tariff reductions contributed to lower profitability, China Mobile's Chief Financial Officer Xue Taohai said yesterday.

Cheong halved his share-price estimate for China Mobile to HK$75 from HK$150, while DBS Vickers analyst Steven Liu lowered his to HK$115 from HK$140.

China Mobile reported yesterday that first-half profit rose 45 percent to 54.8 billion yuan ($8 billion). Earnings before interest, taxes, depreciation and amortization, a measure of operating profitability, rose 16 percent to 104.4 billion yuan, China Mobile said. Ebitda as a percentage of sales narrowed to 53.1 percent from 53.9 percent last year.

Analysts at Credit Suisse Group AG, Goldman Sachs Group Inc., Lehman Brothers Holdings Inc. and HSBC Holdings Plc all lowered their share-price estimates for China Mobile today.

Source:Bloomberg