Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
ZSTN I have my finger on the buy button and my ear on the CC.
Actually, I don't 'cause I don't have the link fot the CC...Anyone?
ZSTN You're welcome. Sure is dropping in the PM...
ZSTN Somebody pick the ER day to launch an article about the possibility of the company beeing a fraud pointing major red flags.
http://seekingalpha.com/article/234338-zst-digital-networks-deceptive-business-bad-investment?source=yahoo
Great info Rames! Thanks so much.
SIHI anyone else holding this one?
CCME Earnings BMO...Nice...
SIHI up 7%...eom
Thanks so much Maj
Hi Maj,
do you know when TCCO will be presenting?
TIA
CCME nice comeback. Dancing to a much different song than a few months ago.
GAGA not a lady...
Le Gaga Holdings (GAGA) $92mm IPO
with a market cap of $400mm at price range mid-point of $8.5. Scheduled for Friday, Oct 29
GAGA Valuation Metrics
SUMMARY
. Greenhouse vegetable grower market leader in a fragmented market
. 40% profit margin for the year ended March 31, 2010
. 31% Compound Annual Growth in production output
. At 29 times annualized earnings almost priced like a ‘growth’ stock
. June 2010 quarter income compared to June qtr 2009, however, declined from $4.4mm to $3.5mm on a 50% increase in revenue to $12mm from $8mm
BUSINESS
Greenhouse-produced fresh vegetables
. Focuses on applying advanced agricultural know-how to grow safe and consistently high-quality vegetables.
. Has the highest greenhouse coverage ratio among major vegetable producers in China, according to a . Frost & Sullivan report commissioned by GAGA.
As of June 30, 2010, a total of 3,941 mu (263 hectares) of GAGA’s arable land was covered by greenhouses, accounting for 20.9% of GAGA’s total arable land.
MARKET DEMAND DRIVERS
. China’s large population and its increasing level of disposable income per capita drive the growing demand for high-quality fresh vegetables.
. As disposable income per capita increases, the average Chinese diet has diversified from a largely carbohydrate-based diet of staples to include more meat, fruits and vegetables.
. Affluent households increasingly recognize the nutritional benefits of a balanced and more healthful diet that includes different varieties of fresh vegetables. In particular, demand for high-quality, off-season fresh vegetables is growing.
GROWTH PLAN
. Currently targets the Guangdong, Fujian and Hong Kong markets, which have demonstrated a strong demand for fresh vegetables, with a combined market size of 14.8 million tonnes in 2009.
. Plans to expand the distribution network of into the Yangtze River delta, an affluent and populous region where demand for high-quality fresh vegetables is growing.
. Also plans to set up wholesale operations in nine coastal provinces across China to target regions with high retail purchasing power.
COMPETITIVE ADVANTAGE
. GAGA relies on its greenhouse cultivation, proprietary horticultural know-how and effective production planning supported by a comprehensive database
. Is are able to schedule and control crop plantation and harvest to meet higher market price of crops, thereby achieving better market selling price.
PRODUCTION YIELD
. Production yield was 3.6 tonnes, 3.9 tonnes and 5.4 tonnes per mu in the fiscal years ended March 31, 2008, 2009 and 2010.
. Production yield was 1.2 tonnes and 1.6 tonnes per mu in the three months ended June 30, 2009 and 2010, respectively.
. Production yield has been significantly enhanced by greenhouse cultivation. Greenhouses increase production output by allowing crops to grow faster and year round and protecting crops from extreme weather conditions, such as typhoons and windstorms.
CAGR of 31.1% in production output
. Production output increased from 57,085 tonnes in the fiscal year ended March 31, 2008 to 69,240 tonnes in the fiscal year ended March 31, 2009 and to 98,076 tonnes in the fiscal year ended March 31, 2010, representing a CAGR of 31.1%.
. Production output increased from 20,653 tonnes in the three months ended June 30, 2009 to 29,267 tonnes in the three months ended June 30, 2010.
total of 3,941 mu (263 hectares) of arable land was covered by greenhouses, accounting for 20.9% of total arable land.
SIZE OF ARABLE LAND
. Total production capacity depends to a large extent on the size of arable land. As of June 30, 2010, GAGA leased a total of 18,850 mu (1,257 hectares) of arable land, compared to 17,103 mu (1,140 hectares) as of March 31, 2008 and 16,525 mu (1,102 hectares) as of March 31, 2009.
. Land is a precious commodity in China, while GAGA seeks to increase its arable land, GAGA has also been building greenhouses extensively to improve production yield and grow total production capacity.
SOURCING LAND
GAGA sources most of its land from farmer households, local villagers’ committees or local governments.
. Sourcing arable land in China has been highly competitive because of the increased demand for land for agricultural and other uses. Because the supply of arable land that can be leased from the farmers is limited, competition is fierce in obtaining such leases.
. According to Frost & Sullivan, in 2009, 99% of arable land with greenhouses was cultivated by individual farmers, while only 1% was cultivated by vegetable production companies like GAGA.
LABOR
Business is labor intensive. As of June 30, 2010, we hired 2,348 farm workers to perform all agricultural labor work on farms.
. GAGA has observed an overall tightening of the labor market in the PRC and an emerging trend of shortage of labor supply in China. Furthermore, labor costs have been increasing in China in recent years and may continue to increase in the near future.
. However, GAGA does not expect that the overall tightening of the labor market will have a material adverse effect on expansion plans, because GAGA’s standardized production process can be easily followed by farm workers with minimal skills, allowing GAGA to hire farm workers from a large labor pool.
COMPETITION
The fresh vegetable production industry in China is highly fragmented
. GAGA competes for market share mostly with numerous unorganized individual farmers.
. Among companies engaged in vegetable plantation business, large private vegetable production companies are the leading players
. GAGA’s ability to compete successfully in the vegetable production business largely depends on its ability to consistently deliver high-quality, fresh vegetables of desirable color, aroma, freshness, texture, flavor and nutritional value.
. GAGA believes it needs to further expand its production scale and enhance product offerings in order to compete with competitors successfully.
USE OF PROCEEDS
$70mm from sale of 9.2mm ADSs. Shareholders intend to sell 1.7mm ADSs
• $62.0 million to fund the construction and improvement of greenhouses and other agricultural facilities; and
• balance to fund the enhancement of research and development capability, including the development of an information system.
SIHI up 4% on above the average volume
NIV great timing swampboots. I bought a ton at 2.20. Not looking bad either. :)
Good luck
SIHI thanks so much Joe, I didn't knew that.
I like the fact their accountant is a known english firm and also their management team:SinoHub, Inc. was founded in 2000 by veteran entrepreneur Harry Cochran and electronics industry veteran Lei Xia
Here's an interesting movie with a tour to their factory:
http://www.sinohub.com/investors-factory%20tour.html
There was a good technical input recently with the breakout of the dow trend channel on high volume...
SIHI not realy if you compare with the industry:http://moneycentral.msn.com/investor/invsub/results/compare.asp?Page=ProfitMargins&Symbol=SIHI
And I believe the margins will increase as their mobile business tend to grow and the margins will increase.
SinoHub provides products and services to suppliers and purchasers of electronic components in connection with the manufacture and assembly of electronic products in the People's Republic of China (the "PRC" or "China") and we are engaged in the production and overseas sale of mobile devices (currently mobile phones). In Q2 2010 approximately 66% of the Company's revenues were derived from the sale of electronic components and assemblies (ECP) to contract manufacturers and design houses which are engaged in the manufacture of mobile phones, network equipment and other electronics products in the PRC. These sales occur either as one-off electronic component sales (roughly 80%) or as procurement-fulfillment projects (about 20%). The Company began offering mobile phones for sale in developing countries in Southeast Asia through its newly formed virtual contract manufacturing division (VCM) in late 2009, but did not have material revenue from this source in 2009. Roughly 30% of SinoHub's revenue in Q2 2010 was derived from selling mobile phones overseas and from PCBA production through its virtual contract manufacturing division. In connection with the supply of such components and products, the Company also provides supply chain management services (SCM) from which we derived approximately 4% of our revenues in Q2 2010. Long term we expect VCM, ECP and SCM to be approximately 55%, 40% and 5% of our revenues respectively.
SinoHub's Three Business Lines:
1 Supply Chain Management (SCM) - SinoHub sells transportation, customs handling and warehousing services to meet the supply chain management needs of electronic component suppliers, design houses and electronics product manufacturers - all of whom use SinoHub's Web-based SCM application.
2 Electronic Component Purchasing (ECP) - SinoHub sells components to its design house and electronics product manufacturer customers.
3 Virtual Contract Manufacturing (VCM) - SinoHub produces electronics products to order for sale in developing overseas markets by coordinating design services, component purchasing and manufacturing/assembly services in China - mainly provided by SinoHub clients. SinoHub's VCM customers are mobile phone distributors and operators in developing countries outside of China - like Vietnam, Indonesia, and Malaysia.
SIHI Any of you guys follows this one?
I've started a position a few sessions ago and I like their numbers:
70M Market Cap
47% Inside Ownership
2.92 Current Ratio
48% Debt Equity Ratio
Gross Margin 17% ttm
Net margin 8% ttm
Book Value 27,79M
PER 5 ttm
Any thoughts?
Heads up to their website (especially if you compare it with some other websites of china small caps): www.sinohub.com
CCME couldn't agree more Dan. I've been buying all day and just promote CCME to the largest position in my portfolio.
Take care
"This was a gift for anyone who has done the math. "
NIV I love the way NIV always come back in the end of the session. The market doesn't seem to want for the stock to finish below 2.50.
NIV I agree Value1008. This one has to be one of the most undervalued stocks in our space. Earnings should be good as the mobile phones segment tend to gain importance and has much better margins than the other products.
NIV somebody is selling like crazy. If it finishes bellow the 2.45 support, it's not a good sign...
BORN Thanks. Didn't catch that. I remembered the last time there was something about BORN's numbers it fell 10% in one session but it recovered in a couple of days. But I agree with you when it cames to catching falling knifes...
BORN C'Mon baby. I'm waiting for you under 11. We have some unfinished business to take care off LOL
CHGY LOL who's next?
CCME yes it would. I was kidding.
CCME we'll finish above the 14.80 support IMHO
People's Bank of China Raises Deposit, Lending Rates by 25 Basis Points.
NIV getting hit today...
SGAS LOL
Check this video of a red chip employee interviewing the CFO of SGAS.
He tries to shake the CFO's hand but he's ignored (0.30 sec.). LMAO!
http://www.redchip.com/visibility/investor.asp?symbol=SGAS
ALIF looking good. +7%
NIV SA article October 14, 2010
Why NIVS IntelliMedia Is Undervalued
NIVS IntelliMedia Technology Group, Inc.(NIV), was listed on the NYSE Amex in March 2009 (IPO price $3.50). The company, through its wholly subsidiary NIVS Holding Company Limited, designs, manufactures, sells and markets audio and video consumer products.
The company predominantly operates in China but also sells and ships its products to diverse markets in Europe, Southeast Asia and North America. The two primary products lines offered by NIVS include 250 “standard/traditional” products (including theater systems, speakers, shelf-stereo systems, DVD players, DVB set-top boxes, televisions, portable digital players and related products) and 30 “intelligent” audio and video products (including various standard products with integrated speech-controlled interface technology comprising speech-controlled home theater systems, televisions, DVD players, set-top boxes and shelf stereo systems). In addition, the Company offers an array of peripheral and accessory products consisting of remote controls, headphones sets and portable entertainment devices such as MP3/ MP4 players.
NIVS sells its products under its own brand name “NIVS” as well as to original equipment manufacturers (OEMs). The company has a distribution network in more than 60 countries including wholesalers, distributors (both provincial and regional), resellers, independent vendors, value-added resellers and hardware vendors. The company has a 2.7 million-square-foot facility in China, including a 1.1 millionsquare- foot production area and more than 1,400 full-time employees.
The company has shown impressive earnings growth year-to-date and a good relative financial position because of the stock offering in April. Despite this, the stock price lags the last week's overall sector and market indices.
NIV achieved solid second quarter results backed by sales of intelligent audio and visual products, OEM cell phone sales, and the remainder of the order from China Telecom (CHA). EPS grew 27% year-over-year to a second quarter record of $.14, despite the dilutive effects of the added shares from the stock offering completed this quarter. Revenues increased 90% YoY to an all time high of $77.6 million. Mobile phone sales were a significant contributor to revenues this year compared to last year, a trend expected to continue going forward. The company's core business, intelligent audio and visual products, offered a sizable contribution to revenues as well. As NIV is able to provide additional brand name phones to China Telecom and presumably China Mobile (CHL) and China Unicom (CHU) in the future, growth is secured for the future.
The valuation is very attractive with a book value of $2.36 and an EPS expectation of $0.60 this year. Therefore the stock price of $2.23 doesn't reflect the promising future. In Q4 the IT spending cycle should be fueled by continuing electronic demand in the consumer area. Christmas should also play an important role, with high smartphone demand.
http://seekingalpha.com/article/229964-why-nivs-intellimedia-is-undervalued?source=yahoo
NIV...If we break 2.50 in the near future...we're on...
CCME touchdown.... ;)
NIV | NIVS Opens New York Office
Nice move...
On Thursday October 14, 2010, 8:00 am
HUIZHOU, China, Oct. 14 /PRNewswire-Asia/ -- NIVS IntelliMedia Technology Group, Inc., ("NIVS" or the "Company") (NYSE Amex: NIV), a consumer electronics company that designs, manufactures and sells intelligent audio and visual products, today announced that it has opened a New York City based office.
"The New York City office will enable our U.S. based investors to have direct access with Company representatives, and certain of the Company's products will be featured in a mini showroom to be demonstrated to interested parties," Mr. Tian Fu Li, CEO and Chairman stated.
NIV agree. However, IMHO, it's a risk to wait on the sidelines, as at any moment we can can get news about the company's relationship with China Telecom, and if we do, NIV will go parabolic.
As NIV is able to provide additional brand name phones to China Telecom and presumably China Mobile and China Unicom in the future, we expect to see even greater top line growth with higher margins.
NIV massive volume and 5% up. It's time for this one to start moving. No way should be trading at this level.