Tuesday, July 19, 2011

Longwei Petroleum (LPH) The Next Rebound Winner

I really like the website Star Analyst Online of Kevin Chen. He made a complete study of Longwei (LPH). READ his latest piece: Longwei Petroleum (LPH) Power of Vertical Expansion and Alternative Growth Strategy

Personally I think we have seen the bottom in the US-listed China (RTO) Stock Space. So pay close attention to a rebound in a lot of China stocks that are trading below cash or have a P/E below 5.

We will see normalized stock prices again, it's just a matter of time!

1 comment:

  1. There are many Chinese stocks with P/E below 5.

    Let's make a start with P/E below 2.5 and P/BV below 1. Also, 10-K signed by ranked auditors.

    LPH has the fundamentals but not the auditors.

    SIHI has a P/E of 2 but there are concerns about its growth.

    CADC also at the same evaluation but with Friedman as auditors. This is a considerable disadvantage in my opinion.

    BSPM P/E is also around 2, P/BV at 0.60 and has reliable auditors (Mazars). There is no hit pieces against this co.

    GURE P/E is just above 2 with top-10 auditors. There was 3 hit pieces against it the last months but the management reacted properly.

    A few stocks also with Sherb&Co as auditors have similar fundamentals. CLNT with P/E at 2.5 for example. I don't trust Sherb&Co though.

    Thanks for hosting!