Yangzijiang

[iam802]

Yangzijian is a short. Today market is up but this counter is down with slightly above average volume.

2011Aug-Yangzijiang-800x600.png

What do you guys think?



Me >> Not vested <<

[winston]

Not vested

Singapore-listed Chinese shipbuilder Yangzijiang may be in focus after it issued a detailed explanation of its financial results in response to concerns raised by investors.

Ynagzijiang said the loans it had extended were backed by collateral, and the firm's practice is to ensure the value of the collateral was at least two times debt.

The shipbuilder added its 20 percent plus gross margins will be sustainable for sometime as more than 50 percent of the order book was secured prior to the financial crisis.

To address the expected fall in gross margins for newbuilds, the company plans to build bigger vessels and venture into the offshore marine sector.

Source: Reuters

[winston]

Not vested

Yangzijiang Shipbuilding (S$1.02/BUY/TP: S$1.62)

Visibility from high order book; could lead sector consolidation. Despite posting strong 2Q11 results (+20% YoY), weaker outlook for the shipbuilding sector and concerns over the financial instruments on its balance sheet continue to weigh on share price (-30% since end-Jul 2011).

While we are neutral/negative on the shipbuilding sector due to the oversupply condition, we
like YZJ:
(1) YZJ has one of the most efficient operations in China with above industry average margins and strong order book;
(2) We believe YZJ will be a leader in the shipyard consolidation in China given its ability to turnaround shipyards and strong balance sheet.

The stock is valued at 6.3x FY12F P/E and our TP is based on 10x FY12F P/E.

Since the global sell down started, insiders have purchased >2m shares at an average price of S$1.12/share


Source: DMG

[Chinaman]

Not vested
Yangzijiang Shipbuilding (S$1.02/BUY/TP: S$1.62)
Since the global sell down started, insiders have purchased >2m shares at an average price of S$1.12/share
Source: DMG

Recently, pick up some at $1.02...hope to make some kopi money, not intent to hold long.

[winston]

not vested

RESEARCH ALERT-Kim Eng cuts Yangzijiang to hold from buy

SINGAPORE, Sept 12 (Reuters) - Kim Eng Securities has downgraded Singapore-listed Chinese shipbuilder Yangzijiang, to hold from buy as it turns more negative on the shipping industry, due to weakness in the global economy.

The broker also cut its target price for the stock to S$1.15 from S$1.65.

STATEMENT: Kim Eng has turned more negative on its outlook for the shipping industry due to rising global economic uncertainties, and noted that Yangzijiang may have to offer longer vessel delivery schedules to existing buyers to avoid order cancellations.

"We are increasingly negative on the shipbuilding outlook in general with heightened risks of prolonged downcycle especially if global economy goes into a deep recession," said Kim Eng in a report.

Investors are also increasingly concerned about Yangzijiang's growing investments in its non-core financing business, the brokerage said.

At 0401 GMT, shares of Yangzijiang fell 2.4 percent to S$1.025, and have dropped about 46 percent since the start of the year.

Source: Reuters

[Aspellian]

So now analysts have slowly changing their stance from Buy to HOld. will continue to keep the powder dry now.

When they change from HOLD to Downgrade, then can start loading bullets...

and when they say SELL... get ready to aim... there will be probably a few more legs of downs... then FIRE!!!!!

(as if so easy...) hahaha! but remember to K-I-S-S!

[Musicwhiz]

So now analysts have slowly changing their stance from Buy to HOld. will continue to keep the powder dry now.

When they change from HOLD to Downgrade, then can start loading bullets...

and when they say SELL... get ready to aim... there will be probably a few more legs of downs... then FIRE!!!!!

(as if so easy...) hahaha! but remember to K-I-S-S!

By the time they downgrade to "SELL", you know it's time to buy liao.... Analysts are always too slow to the party. Always have been, and always will be.

[Aspellian]

Hi MW,

Can see that you are very excited about this downturn!

lots of bullets at the sidelines waiting to fire???

[winston]

not vested

Singapore-listed Yangzijiang Shipbuilding may be in focus, after the company addressed investor concerns, about its exposure to informal lending and corporate failures in China.

Yangzijiang said to date, it had invested around 247.5 million yuan ($38.8 million) in two micro-financing entities, which accounted for less than 3 percent of the group's net tangible assets as at June 30. [ID:nSNZ2jM67v]

The company has not experienced any default of its investments in financial assets since 2008, it added.

Source: Reuters

[winston]

not vested

Singapore-listed Yangzijiang Shipbuilding Holdings Ltd may be in focus after announcing its fourth-quarter net profit rose 24 percent from a year earlier to 1.04 billion yuan ($165.3 million), helped by higher vessel deliveries and increased gross profit margin.

Source: Reuters