This property developer has seen its stock bashed down for a long time. Now it might see a recovery after reporting fantastic results: (1) Net profit attributable to shareholders soared by 116% from RMB19.6 million in Q2 2007 to RMB42.4 million in Q2 2008 (2) Net profit attributable to shareholders of RMB111.9 million for 1H 2008 more than quadrupled that of RMB24.9 million for 1H 2007 (3) Net profit for 1H 2008 nearly doubled that of RMB56.0 million for full year FY2007
Too bad it has this convertible bond with Deutsche. As long as Deutsche has the shares, the share price is likely to be hammered all the way. And do note that Deutsche has a lot of shares to sell...
I remember prior to the Lehman crisis, Sunshine was trading above 50 cents and then it slumped. Today only 4.7 cents! Yet, this one looks like ready for a breakout. Sunshine has proposed to move away from property development and diversify its core business to include the business relating to ferrous and non-ferrous metals (instead of commodities, minerals and resources).
Sunshine used to be a property stock that I followed before the 2008 slump. It did badly becos of the convertible bonds it had taken up prior to the slump. Of late, my attention has been caught by its stock performance. Jun-July-Aug-Sept-Oct stock was 4-4.5 cents. Then it steadily rose and rose on heavy volume. It's now trading at 7 cents, and well supported. I will be looking closely at its financial statements to find out what value it has. Anyone can comment first?
Hi Reck, Yes. I agree with what you said. I have also followed the company for a bit. The jump (in my opinion) was due to some private investors who approached the company to make an investment (I think it was at about 4 to 4.5 cents). This was after Sunshine had made its initial announcement that it would be entering the mining industry. Not long after, the share price started to move. I believe it's because some private information might have been made known to the investors and they started to accumulate the shares. Cheers
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