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No, they protect buildings from water where I live. Water goes through concrete whether it has salt or not.
Bzzzzt. Wrong. Carbon steel reinforcement works just fine in these applications. The tanks are coated with a membrane (paint, spray or roll down) that goes on in one day. There's probably over a hundred products that deal with this - a whole industry is built on these products. Excellent due diligence.
The MF concept doesn't pencil out in most countries. It's not like people haven't tried though. I remember reading about proof of concept developments in Germany, Texas and Japan. But nobody has been able to get the financing required to scale up. My impression has been that it's not one killer technological advantage that SIAF has (although that's what most assume), it's the combination of smart application of technology, cheap labor, cheap land, supportive geography and good mobilization on the part of the company that makes the whole thing work. To their credit SIAF has gotten a lot of things right.
Now if the aqua spinoff were to become a global operation, that would go a long way to addressing the China stigma. But that's kind of wishful thinking right now.
I would think at least some of this is linked. I don't know if a bank or VC organization would place a bet on the future of the MF if the company can't finish Phase I. I'm not negative towards the progress that's been made recently but this just seems fundamental to me. The company still needs to establish a reasonable track record of execution. Hoping for good news in February...
Which consumers? The consumers that have taken China from a blip on the radar to the third largest export market to the US in five years. The consumers that have among the highest (if not the highest) income growth in the world - right now. This is projected to continue at least through 2020. The same consumers who are buying prawns so fast that China can no longer meet internal supply. To meet demand, China is importing prawns from Vietnam - something they banned just last year due to quality control (disease) but are now permitting because they're concerned about price stability. The same consumers that have made the Trans-Pacific Partnership a no-go for China. China is the only country that has not signed on.
Yes, closed Monday which could be interesting if it keeps moving up on Oslo.
Keep in mind that this isn't a typical trading day. Market breadth is awful and small caps are getting absolutely crushed across almost every sector. It's going to take a few weeks to establish the new normal. I'm personally glad that we're green as I write this because very little else is.
Just a hunch but I don't think China would end breakers without a butt load of liquidity to back that up. Will find out tomorrow when I wake up. Also, P/C ratio was up big earlier today.
Ain't that a kick in the pants?
We're also sitting just above where most of the buying has been the last couple weeks and just below a downtrend line that stretches back to the first trading day of July. For the moment we're in no man's land.
I have some vague recollection that they produce fishmeal as a byproduct but I didn't know they actually produce fishmeal for their prawns. I just assumed that the sheer size of the mega farm would mean that they would be purchasers of feed?
Interesting. If you look at the cost of fish meal, it's been steadily going up as aquaculture continues to grow. That's a real risk going forward that I'm sure management is aware of but I'd like to know how they plan to mitigate that potential.
There's no instant gratification here but it's potentially very good news. Aligning the product with international food quality standards for international sales.
Exports may be coming while most of us are still shareholders. And almost certainly at better margins than domestic sales.
I think they're very much separate issues. The rise and fall in the Shanghai market has been very quick and doesn't capture the true wealth creation that has taken place in the country. A low growth scenario would eventually be pretty grim for their capital markets but with low growth will people really stop buying prawns? In other words, would it be bad for SIAF if growth was still taking place but just below what the capital markets have come to expect? I don't think so. And will the influx of people moving from the rural mainland slow down or stop? Not with the huge income disparity. And will it take away the competitive advantage that SIAF has over open pit prawn farming? Nope.
I don't know how one would go about quantifying the hit SIAF would see to demand during a severe economic downturn but I'm not too concerned about that either. Over the arch of their growth they will see multiple downturns. That will happen. But I'm comfortable with the fundamentals of the business plan whenever it does.
What type of dividends? How large?
I don't think any of it works if you don't have a senior listing. The market dynamics don't work in your favor unless you have a healthy ecosystem of investors. And even then, you still have to get the dividend right.
Like I said before, I'm not convinced this is even appropriate. I would like a clear and unified explanation of what management is solving for. A few of us are just guessing that the purpose it to value the stock according to it's yield but since management hasn't said, we're just guessing.
I think it's both. I know a lot of funds will screen for yield before human eyes ever look at a short list.
But to your point, I've noticed that there seem to be two types of Chinese companies on the US exchanges. The ones that have 'earned their stripes' so to speak... and garbage. We're garbage The ones that have achieved the rite of passage are treated fairly. Very fairly.
One comparison that I think is pretty interesting is SINA (stripes) / SIAF (no stripes). Sure, they're different industries. But SINA is a Chinese company with comparable revenues, lower growth in a more volatile and more dangerous segment (commie internet play). But it's growth potential and profitability still doesn't approach that of SIAF. Nevertheless its market cap is about $3B.
To add to that, month-to-month dollar volume on the OTCBB is very volatile. It might seem reasonable to attribute share price appreciation to institutional investment or falling prices to poor management. But life on the OTC is defined by the tide of money moving in and out, first and foremost. That's my observation, at least.
Last month, OTCBB dollar volume was less than half of what it was in February. I'm expecting June to be even worse.
As long as it holds the $14 area today, I'll take one or two more days of watching paint dry. I like it a lot more when selling and buying don't overlap. Makes it a lot easier to see where you're going...
Today's 50 was 13.20, I think. Support is wherever money changes hands and price stabilizes or turns. If it's exactly at the 50dma, then that's great. If it's just above or below, that's good too. If it doesn't align with any previous support or moving average, that's fine too.
IMO, support and resistance lines are really more like zones. They are sometimes very precise but usually not.
Not sure about a spike up but very possibly a bottom. I personally don't want to see this steep drop followed by a snap back in share price. IMO, it would be better to noodle around here under $14 through today and into next week. Reason being, if this is a bottom, it then becomes the second point of an uptrend line - a pretty decent uptrend line over the long term. And it would be nice to see that trend line defined by more than just a few trades.
It looks that way but it's more telling to use a log chart. Don't use a linear chart for trending stocks - they distort the relative strength of price movement over time.
I agree. But I think this is just a small taste of what's to come. The reason I think there's at least a little institutional money is because the price action is slow, even and protracted. It screams accumulation. It's actually been in accumulation in the prior months before the sock started this leg up, IMO.
But the accumulation is remarkably consistent and out of character with most OTC stocks. It doesn't care about resistance, first support almost always get bought, and selling, predictably, only comes when the stock gets goosed. That's another thing that bears mentioning - there's virtually no fear in this stock. Selling, even below first resistance is very muted.
I know some people want to see this go up faster but, IMO this is super bullish.
Very useful. Thanks!
Debt to equity should also be excellent...
Another big advantage of getting that divi sooner rather than later is the downside protection it affords if the economy blows up either in China or the Western economies (or more likely, both). If the company can continue to grow profits, even if at a slower rate and the divi is more than the bond yield, SAIF might be in a good position to weather an economic downturn. If I was a fund manager and I needed to rebalance a poorly performing portfolio, I wouldn't cut the ones that were offering a dividend and still growing. Just a thought.
But I whole heartedly agree with the "why".
My point being, if mature fortune 500 companies with substantially lower growth rates and few resources aren't willing to give guidance then why hold SIAF to a higher standard? I think that's valid.
Yes, as a strategy, I think that's what all respectable companies strive for. INTC has conservative guidance down to a science. I don't love the idea with a company that's growing as fast as SIAF but I'm interested to see what happens later this year.
He wouldn't agree that a company needs to give guidance. I don't think it's a black and white issue by the way, but he has some interesting reasons why.
40%??? That's a terrible idea. That's not even guidance.
Warren Buffett wouldn't agree...
I don't agree. Only about half the S&P 500 gives guidance. Coca Cola doesn't give guidance. And most of the guidance given (most!) turns out to be wrong. I'm not talking about worthless companies, I'm talking about blue chips. With a fast growing company that is pursuing multiple, competing growth opportunities in parallel, you have to be very careful about what kind of guidance you give and when you give it. And as a shareholder you need to be careful about what you wish for. That said, I would like some type of guidance - it doesn't have to be EPS, but only if it's constructive to understanding the company's long term fortunes.
First the fake analyst report this morning and then this? Crap. Not the kind of attention I want.
That was an analyst report in name only.
Or a trading room?
Looks great. Thanks.