InvestorsHub Logo
Followers 52
Posts 4107
Boards Moderated 0
Alias Born 07/03/2005

Re: DownWithPumpers post# 220385

Tuesday, 12/19/2006 9:26:10 AM

Tuesday, December 19, 2006 9:26:10 AM

Post# of 311057
Down: Here is more complete information on why I chose NWD as my first purchase under my new strategy. No pumping here; this stock is not dependant upon any pumping strategy. NEW DRAGON ASIA CORP Company Overview
New Dragon Asia Corp. and its subsidiaries (NWD) are engaged in the milling, sale and distribution of flour and related products, including instant noodles and soybean-derived products, to retail and wholesale customers throughout China. With its Long Feng brand name, the Company markets its product line through a countrywide network of over 200 key distributors and 16 regional offices in 27 Chinese provinces. NWD has six manufacturing plants in the People's Republic of China with an aggregate annual production capacity of approximately 110,000 tons of flour and approximately 1.1 billion packets of instant noodles and 4,500 tons of Soybean powder. The Company produces and markets a range of wheat flour for use in bread, dumplings, noodles and confectionary products.
Reuters ProVestor Plus Company Report

Shareholder Equity
Shares Outstanding 52.4 M
Institutional Ownership 0.58%
Number of Floating Shares 16.7 M
Short Interest as % of Float 3.42%

Valuation (MRQ)
Price/Earnings (TTM) 10.15x
Price/Sales 1.77x
Price/Book 2.02x
Price/Cash Flow 4.89x

NWD's P/E Ratio is lower than 92% of other companies in the Food Processing industry. This typically means that investors are willing to pay less for its level of earnings relative to future growth.Profitability (TTM)
Gross Margin 18.72%
Operating Margin 6.84%
EBITDA Margin 10.75%
Profit Margin 24.28%

NWD's Gross Margin is comparable to other companies in the Food Processing industry, which means it has relatively the same amount of cash to spend on business operations as its peers. As indicated by the Operating Margin, NWD controls its costs and expenses better than 71% of its peers.Financial Strength (MRQ)
Quick Ratio 1.67x
Current Ratio 2.16x
Debt/Equity 0.00x
Debt/Assets 0.00x
Management Effectiveness (TTM)
Return on Assets 22.10%
Return on Equity 28.31%
Return on Inves. Capital 32.69%

The Return on Equity for NWD shows that it is able to reinvest its earnings more efficiently than 92% of its competitors in the Food Processing industry. Typically, companies that have higher return on equity values are more attractive to investors.Growth Rate (TTM)
Earnings Per Share 464.6
Sales 20.2
Dividend (MRQ) --

NWD's EPS Growth Rate is greater than 99% of its peers in the Food Processing industry.Dividend (TTM)
Dividend Yield --
Payout Ratio 0.00%
Annual Dividend 0.00

NWD does not pay a dividend. Comparatively, 11 out of 500 companies in the Food Processing industry do pay dividends. Operating Ratios (TTM)
Asset Turnover 0.91%
Inventory Turnover 6.08%
Receivables Turnover 7.32%
Effective Tax Rate 11.82%

These ratios give an indicator of efficiency (ability to move inventory and generate sales) within a company, particularly ones with tangible goods (i.e. automotive, computer hardware) as compared to its peers.Company Officers
Chairman Heng Jing Lu
Director Heng Jing Lu
Director Li Xia Wang
Director Ling Wang
Chief Executive Officer Li Xia Wang
Chief Financial Officer Peter Mak
Vice President Ling Wang
Company Contact
Employees 1,500
Headquarters Suite 2808
Int. Chamber of Commerce Tower
Fuhua Three Road
Shenzhen, PRC 518048
HKG
Phone 7558-831-2115
Fax
Web Address

http://www.newdragonasia.com