rabbitfoot: (what an interesting nickname.), the reason people sell at very low prices may be they dont see catalysts for the stock to rise soon. they are not value investors who can wait for a bargain gem to shoot up to be multibaggers. they could be weak holders, or they cld be eyeing high-beta plays elsewhere with a promise for faster gains. All these dont reflect negatively on China Gaoxian. In their Q1 results, their profit margins have been maintained, and their rolling order book was RMB300 million, which is as solid as ever. Best of all, they are working fast to add massive capacity using IPO proceeds. So unless anyone knows that their accounts are fake, I just cant see how this stock will not rise in due time when the earnings roll in fast through the door from Q2 onwards.
Gaoxian Fibre is not a small company making a few million in profit a year. It made the equiv of S$80 million last year, and for such a big business to trade at 2.5X PE is just unbelievably cheap. There is nothing I know of that suggests that this business is declining, which would justify the low low PE. Instead, to the contrary, Gaoxian is in an industry that is rebounding strongly and it is in the midst of huge capacity expansion using its IPO Proceeds. There is going to be a meaningful jump in earnings per share. At 18 cents today, the stock is just too cheap, IMHO
Gaoxian climbing nicely to touch 19 cents, then kana trading halt. What announcement coming ???? Hope it\'s positive or the uptrend will be broken. This stock is trading at only around 2.6 X last year\'s earnings, very cheap, but some people dont believe their story.
does South Korea stock market give riche valuation? Kopsi PE is now at 17, vs 16 for STI and 20 for Hang Seng index. what valuation will its Korea listing be?
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