Post Reply
41-55 of 55
Today, this counter has attracted some buying interests. The turnover of this counter is quite low recently. Even a small investor can push up or down the price. With the company's growth potential, the price can go up when investors find its under-valued.
Or else, it will go up if the company or management buy back some of the shares. It is definitely possible as it it under-valued and the company has sufficient fund to do so.
This quiet market is really quiet. Even though the company announce a quite good Q2 result, the market is not responding at all.
(Beauty China maintains growth momentum with 2Q08 net profit up 20.4% to HK$41.7 million. With interim dividend of HK$ 2 cents.)
Personally, I like this stock for mainly for 3 reasons:
1) It is in the growing market, ie. China. The power of consumption is huge.
2) It is in the "Lady's market". People says "Earning money from ladies are the easiest and most profitable business".
3) The company has growth potential. It just started up its own OEM, and the production capacity have not been fully utilised yet. It has manage to increase selling price to transfer its higher operation cost to their customers. They are quite aggressive in the marketing activities (that is the reason why they have a higher marketing cost). They have a good branding in China.
Releasing results on 13th....August
Beauty China gives upbeat business update. Company says in statement it added 104 outlets in 2Q08; higher oil, raw material prices being offset by "tactical product development, operational efficiency improvement, cost control as well as price adjustment." Also, average utilization rate for new cosmetics manufacturing business improved to 40% in 2Q08 from 27% in 1Q08, clocked up HK$10 million of non in-house production orders to be delivered in 2H08. New manufacturing plant should turn profitable in 2H08 as production ramps up, reach break-even in 2008 on full year basis, says Merrill Lynch; has Buy rating, $1.38 target price.
For good reason too, this one into cosmetics ... I wont go into details here sry
But the TA shows not much opportunity...
8.(
Of course, buy when you are able to hold , and you feel the price is right.
There was one TA by one brokerage few days ago, and that might be one of the reasons why the price dropped.
redash ( Date: 19-Jul-2008 23:44) Posted:
|
Not really attractive... however ...
observe the entire market as a whole... first
Beauty China has crashed from high $1.48 to now $0.47.
Price looks attractive now.
zhuge_liang ( Date: 07-Jul-2008 14:58) Posted:
|
CIMB cuts Beauty China target price to $0.91 from $1.29, maintains Outperform rating. Broker says lower target price reflects shift to 8x assumed PE ratio vs previous 11x; "we have reduced our target multiple in view of general sector compressions." Retains bullish view on stock though; "positives remain in its direct exposure to Chinese consumption growth, strong brand positioning and a good management track record." Notes, recent discussions with company suggest earnings momentum remains healthy, tips same-store sales to stay at around 5% on-year for 2008.
wow what happened to this? anyone knows?
Becareful of those guys ... next target price might just .....
Beauty China's fundamentals remain intact with no slowdown for China retail sales, says UOB KayHian; reiterates Buy call, keeps target price unchanged at $1.38. Blames fears of slowdown in consumption following China snowstorms, earthquake and concerns over margin squeeze from higher raw material prices. But says China retail sales still solid, registering record high in Apr whilst new products, increasing utilization rates should help ease margin pressure.
"Considering the bright prospects of the cosmetics industry, the production ramp-up at the new plant and the launch of new products with higher margins, we remain positive on the stock."
Thanks for your advise ...keep update me.
des_khor ( Date: 29-Apr-2008 14:05) Posted:
|
At current market is better to buy with high dividend yield counter.... my top pick are CitySpring and Hyflux Trust .
Can anyone help me i'm new in stock just to ask you all for opinions.
Can i buy "BeautyChina" stock for long terms?
Pls reply thanks..