Jiutian   

How's this stock

true, but this one ML is in it also..... if they pull out then better run fast

 

I take analyst reports with a pinch of salt usually.

Don't really set target prices for myself, I just follow the trend.

 

to $1.60, like wat dbs says

 

I believe its still on uptrend

 

lucky open above 90cts... see how it goes from here... see if merril got anything for us later

 

true man, but placement at 82cts... shucks... hopefully ml push it up n exit later man

 

Turned out to be true. It proposed a placement of 23,000,000 new shares at $0.827.  There was a strong take up by institutions for the issue. Merrill Lynch, DBSV and SBI E2-Capital Asia have agreed to subscribe for 16m (6.33% stake), 5m and 2m respectively.

 

many many talks.... trading halt on 30/10... think could be true... good profit, hurry use it to raise money to expand capacity....by july 2007.. tp by dbs 1.60... hope after us fund hse, ang mo can come up wif reports too

 

There were also some talks that it would be doing a private placement to a large US fund.

 

DBSV said it has upgraded its target price to $1.60 after the company posted better-than-expected third quarter results. Jiutian said its third quarter net profit more than doubled to RMB19.29m.



"Jiutian's third-quarter earnings came in 10% better than our expectations. Net profit doubled due to the full contribution from the (additional) capacity of 30,000 tons per annum this quarter," DBSV said in a note to clients.



With the increased production capacity, DBS said Jiutian also increased its gross and net margins.



To meet strong demand, Jiutian announced its plan to double the design capacity of its new dimethylformamide (DMF) plant currently under construction from 60,000 tons to 120,000 tons per annum. This will raise total DMF production capacity by five times to 150,000 tons per annum by the fourth quarter of 2007.



"We view the aggressive expansion plan adopted by Jiutian as an excellent opportunity to capture growing market share," DBSV said, adding that Jiutian's DMF market share in China will increase to 23%when the facility is completed from 7% currently.

 

Uptrend now not very apparent. Some changes are happening in the charts. 

 

hi,

Talks on prospective investor, indicate that company doing well and  hence more expansion.

Jus learning.

 

Hi Nostradamus,

So how does that affect price?

Thanks

 

Talks that it would be seeking a new strategic partner in a private placement.

 

   Agree with Singaporegal.

 

On a strong uptrend now.

 

Rose in anticipation of a good set of results and a broker's coverage with a target price of $1.04.

 

Based on TA, not promising at this moment to reach 0.6. 

 

can it reach 0.6?

 

I have written the following HotStocksNot article on Jiutian:

Blog article on Jiutian

Main concerns:

Main issues

1.Hopes for 2007 capacity expansion turbo-boosting profits may be unfounded given long time lag

2. Chemicals' ASP trend exhibits volatility