China Growth Stocks

[Brennus]

YUII net margin...you're correct, I was being conservative.

If you take the mean net margin from the past 7 quarters it's 30%. If you take mean revenue from sales of retired boilers it's 1.9MM. If you take mean egg sales it's .425MM. Mean broiler price excluding 4q08, which was a bit of an outlier, was RMB2.87.

So ON AVERAGE, given YUII guidance of 150MM broilers in 2010, we should expect 19.8MM net income & $1.25 per fully diluted share.

That sort of margin is certainly possible. After all, they just told us they expect net margin in the 4th quarter to be 31%+. I'm going to put in a bid today.