YaSheng Group (HERB)

[RealDutch]

So when you are talking about risk with this company, then you are talking about the weather IMO.

Here you can see the problem in Jan this year. There were 3 days when the temperature dropped to -10 degrees C and on one of those days it didn't get higher than -6 degrees C. The average low is -1 degrees C. So it probably caused some damage to the trees.

http://www.accuweather.com/nl/cn/taizhou/59573/january-weather/59573?monyr=1/1/2016&view=table

But unlike Gansu Yasheng Industrial, HERB will still make money. But it will probably be closer to 50% margin for 2016 instead of the usual 70% or 80%.

So, this won't drive the stock. Next year they could make $180M from the plantations alone. If it's a good year.

Gansu Yasheng still making money. Then it shouldn't be so bad for us.
http://www.reuters.com/article/idUSL4N1A207T?type=companyNews