IHH (Q0F.SG) is flat at $1.33, despite a generally buoyant market, after dropping 3.3% on Tuesday, with three analysts saying they weren't aware of a reason for the decline.

IHH's expansion plans are on track, but start-up costs should exert pressure on margins, creating a drag on FY13 EPS growth, Nomura says in a note after a company visit.

"Management conceded that its expansion in Turkey and Singapore will continue to drag margins but core operations remain strong as volumes and average selling prices are progressing well."

The house views IHH's valuations as expensive relative to its growth prospects, and notes its EPS forecasts and target price are below consensus;

"We see risks to consensus earnings, particularly arising from greater-than-expected losses at Mount Elizabeth Novena." It expects Mount Elizabeth Novena break-even at the operating level in 2015, while a slower economy could affect patient admissions, with potential further drag from competition from the Farrer Park Hospital completion this year.

It keeps a Reduce call with MYR2.81 ($1.13) target on the Malaysian-listed share (5225.KU). Its Malaysian share is up 0.9% at MYR3.24.