COSCO is the only S-chip above $1.00

Was chatting with my broker and he commented that all the S-chips have became penny stocks. On close examination, was surprised to find that he is ALMOST RIGHT! Only COSCO remains above $1.00 and that came pretty close today of ending below $1.00 too. We are back in the days of the penny plays. No wonder, the Hong Kong fund managers always commented that Singapore Stock Exchange is a Mickey Mouse stock exchange. We only have penny companies. :woohoo: :woohoo: :woohoo:

will Cosco stay above $1 for long? (XFN-ASIA) - China stocks in Singapore closed higher for a second day as governments around the world moved to infuse banks with funds to battle the global credit crisis. However, a late round of profit-taking erased most of S-chips\' early sharp gains. Ship and rig builder Cosco Corp took a steep slide in late trade and Yangzijiang Shipbuilding gave back big early gains. \"I think that generally there is some form of optimism that stability has returned to the market,\" said a trader in Singapore. \"But profit-taking is inevitable; the market is still jittery.\" The FTSE ST China Index gained 1.31 points or 0.7 pct to end at > 183.51, after being up about 6 pct at midday. Rising shares > outnumbered losing stocks 31 to 11 and 17 were unchanged. > Volume rose to 402 mln shares from 308 mln yesterday. > The FTSE ST China Top Index, tracking Singapore-listed stocks > with major operations in China, added 2.65 points or 1.5 pct to > 182.21. > Singapore\'s Straits Times Index rose 2.5 pct, while Hong Kong\'s > Hang Seng index closed up 3.19 pct. > The mainland benchmark, the Shanghai Composite Index, finished > down 2.71 pct. > Cosco dropped 0.200 sgd or 16.7 pct to 1.000 after being up 3.3 > pct at the midday close. Traders said there may be concerns about the > company\'s funding after FerroChina last week said it was unable repay > its loans. Yangzijiang ended unchanged at 0.330 sgd in heavy trade, > retreating from a 6.1 pct gain at mid-session. > China Hongxing Sports also saw its gains evaporate. It ended > unchanged at 0.215 sgd after being up as much as 7 pct in heavy trade. > Fellow sportswear company China Sports International surged 0.025 sgd > or 14.3 pct to 0.200. > Fiber companies managed to maintain gains. Li Heng Chemical Fibre, a maker of nylon fabric, rose 0.010 sgd > or 3.6 pct to 0.285. Kim Eng cut its target price for the stock to > 0.45 sgd from 0.75 on weaker growth assumptions. However, the > brokerage maintained its \"buy\" rating, noting a potentially strong > upside. > \"We are not at ease with management\'s confidence about strong > demand growth. We believe orders indications they have received for > the past year would have been outdated given the drastic turn in > outlook,\" Kim Eng said in a note to clients. > Sino Techfibre, a maker of synthetic leather, was up 0.015 sgd or > 10.7 pct at 0.155 after falling 30 pct yesterday on a profit warning. > The company on Friday said a shortage of electricity during the > Olympics reduced its output of polyurethane and microfiber leather. > C & G Industrial, another fiber company, rose 0.005 sgd or 7.1 > pct to 0.075, while China Sky Chemical Fibre added 0.015 sgd or 5.2 > pct to 0.305. Luzhou Bio-Chem Technology advanced 0.005 sgd or 5.3 pct to > 0.100. The company said it has boosted its investment in a unit by > 14.25 mln usd. > Waste water treatment companies were also active. > Epure International rose 0.045 sgd or 19.6 pct to 0.275, while > Bio-Treat Technology shed 0.005 sgd or 8.3 pct at 0.055. > Among other actively traded stocks: > Jiutian Chemical Group fell 0.005 sgd or 6.7 pct to 0.070. > China Fishery Group advanced 0.045 sgd or 6.9 pct to 0.700. > Midas Holdings, a maker of aluminum products, gained 0.045 sgd or > 12.9 pct to 0.395. > China XLX Fertiliser ended unchanged at 0.305 > China Milk Products Group rose 0.035 sgd or 8.2 pct to 0.460. > Hongguo International Holdings, a maker of fashion shoes, rose > 0.020 sgd or 10.0 pct to 0.220. > Property developer Yanlord Land Group gained 0.060 sgd or 6.7 pct > to 0.960. > (1 usd = 1.47 sgd) > shburo@xfn.com[1]

From an analyst email this morning: In view of the sharp fall in COSCO Corp (S)\'s share price yesterday, we called to check with the management. Investors might be fearful of the risk involved in orders execution on the first batch of ten bulk carrier vessels, ordered by their parent company (COSCO Group). In the original announcement dated 24th April 07, the company said delivery would be between Jun-Dec 08. According to management\'s earlier comments, the first bulker would be delivered in Aug 08 but now, it seems to be delayed. The management updated us that two out of the ten vessels have been constructed and are currently are under testing. Probably, they will be delivered before Dec 08. As for the other eight vessels, COSCO has begun construction work. They could not provide the exact delivery date as well as the level of completion. They are likely to be delayed, in our view. Since these vessels on order are for the non-listed subsidiaries of their parent company, a penalty charge for late delivery is unlikely. The management promised to provide us with more clarity during their 3Q08 results briefing which is scheduled around 30th Oct 08.

The last frontier has been conquered. COSCO has fallen to 87 cents. Heard that there\'s no script out in the market. Everybody is shorting this stock. All the S-chips are now officially trading below $1.00. :blink:

A certain confused investor sent the following. I think there are many such people suffering... SENT TO: tocosco@listedcompany.com, michael@spin.com.sg, stmoney@sph.com.sg, btnews@sph.com.sg, stforum@sph.com.sg, cdp@sgx.com cc: jonathan.ng@cimb.com, haider.ali@credit-suisse.com Wed, Oct 15, 2008 at 11:27 AM COSCO: Same day, but 2 analysts had called 5.25x difference in Target Price

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Dear COSCO IR (& PR), SGX, ST, BT, I\'m invested in Cosco for sometime, and have rode through some rough times with the stock. The recent 2 analyst reports yesterday (on the same day 14th Oct 2008) by CIMB & Credit Suisse (analysts are copied) have deeply perplexed me, and I\'m extremely perturbed to say the least. Essentially, CIMB called for a target price of $2.89, and Credit Suisse downgraded Cosco to a penny stock, and the difference in both valuations is a whopping 525%. In yesterday\'s upmarket, Cosco opened high but was 1 of the only S-chips that bucked the trend and closed more than 10% lower. Needless to say, it is taking a battering again today, and it seems that the market is being led by the Credit Suisse report. 1. I\'d like COSCO investor relations to explain to me and ordinary investors what has fundamentally changed in the business, that could lead to such discrepancies in valuations. 2. I\'d hope that the 2 analysts and their companies could discuss the validity of both reports, and what is SGX\'s viewpoint on the big 525% difference in valuations which seems to have swung the market to short Cosco, and is there any violation of any nature. 3. I don\'t recall seeing another wild difference in pricing in reports on any stock on the same day, and hope that the press could perhaps come up with an education article based on such examples (if there are any else), so that investors could be correctly guided. Admittedly, I only have a low 5 figure amount invested which has more than evaporated, but still counts for something and I really hope for some accountability on reports such as these. Sincerely, research.cimbinvest.com/research/article.../TraderPM-141008.pdf , jonathan.ng@cimb.com CIMB:Cosco Corporation (COS SP; S$1.24): The company\'s share price stood at S$1.24 as of mid-day close, increasing by 4cts. Key catalysts for Cosco include better-than-expected offshore and conversion orders coupled with falling steel prices. We maintain a BUY call with a target price of S$2.89. researchdisclosures.csfb.com/ccd/disclos...C.SI&date=10-14-2008 , haider.ali@credit-suisse.com Method: Our target price of S$0.55 for COSCO Corp is based on 1x 2008 BVPS. Previously, we value the company\'s dry bulk shipping business at 2009E P/E multiple of 6x and our estimate of the company\'s shipbuilding business CSG\'s value is based on 2009E P/E 7x, based on trading valuations of their peers. Risks: Risks to our target price of S$0.55for COSCO Corp. (Singapore) are: Slowdown in the global economic and trade growth can negatively impact our expectation of continued newbuild order flow. Any delays in deliveries or changes in the company\'s cost structure in delivering on its newbuild orders can affect our estimates. There is limited visibility on newbuild order pipeline or ship delivery and revenue recognition schedules. COSCO Corp\'s potential divestment of dry bulk shipping business and possible acquisition of higher shareholding in CSG and NACKS can have significant implications on our estimated earnings and value of the company. The occurrence, timing or pricing of these potential transactions is not certain.

penny stock? maybe not for very long. well, kim eng has upgraded stock to Buy! XFN-ASIA) - Kim Eng said it upgraded Singapore-listed Cosco Corp > to \"buy\" from \"hold\" after a steep fall in the company\'s stock price. > \"Cosco\'s share price has fallen 53 pct since we downgraded the > stock to \'hold\' three weeks ago. This was on the back of > unsubstantiated rumours of contract losses and a more pessimistic > outlook from the investment community, in line with a weaker global > market outlook,\" Kim Eng said in a note to clients. > The brokerage said its will maintain its 1.95 sgd target price on > the stock, which it said already factors in negatives. > Kim Eng said the company\'s delivery delay has been relatively > minor, while earnings risk appears mitigated. > Shares of Cosco were down 0.050 sgd or 6.3 pct at 0.745 sgd in > early heavy trade. > (1 usd = 1.48 sgd) > shburo@xfn.com[1]