Out of all Dragon stocks, this Happy Wolf (XD Lang) might be the few stunning one. Though the competition is stiff in China shoes/attire, the management is working serious on building its brand. If the trend is set, it's worth to follow.
Moving up again. When can reach 30sen? One of the best performing China stock this year. Annualised PE only 3.76 based on half yearly result; still very cheap. So far no news of major shareholder selling.
China president to visit Malaysia next week. Perhaps should ask him whether XDL and other China stocks account is real or fake. If fake why want to cheat Malaysian?
XDL is not entirely bad. Every quarter make profit and every year give dividend except 2012. Latest corporate exercise announced will see major shareholder Ding PengPeng increase his stake from 50% to 61% if no one subscribe to upcoming right issue.
XDL claim to have RM140m cash, just give 0.5 sen dividend and now wanna suck even much more $$$ from shareholders, another eg CAP just listed and now wanna sapu $$$ thru rights issue...and another story CSL, claim to have RM1 billion cash, sub shareholder dump shares like there's no tomorrow....HBGLOB PN17....KStar, China Ouhua die liao
If u r still keeping the record, some Taiwan listed company in Malaysia already tapau go back Taiwan and being delisted. That is the game and it's over.
KNM also more expensive but no dividend. Those subscribe to right issue can get bonus and free warrant shares. Why major shareholder want to subscribe right issue?
The corporate is going to exercise 322.7m right shares at 35 sen each, with free detachable warrants and bonus shares of up to 242m.
For every 12 existing XDL shares that investors hold, they are entitled to subscribe to 4 rights shares at price of rm0.35, along with 3 free warrants and 3 free bonus shares.
That mean, u actually pay rm0.20 per share ((4*0.35)/(4+3)). Besides that, it is along with 3free warrants 2013 with exercise price of RM0.35 each. If you buy it in excess, u will get lower everage price.
From the company financial record, it made profit for every year even it's profit decline in recent year(might due to economy recession of china at that time). When we look at it PE ratio, it is <2 for each years That mean it is a very potential and undervalued stock.
In addition, XDL has a very strong balance sheets. However, we don't know can it be trusted since china stock is notorious with its credibility. This might b reason why XDL is so cheap. Anyway, if the balance sheet is real, this stock is again extremely undervalued.
Right issue-MSWG CEO Rita Benoy Bushon said in weekly Edge "major shareholder could increase their stake and possibly trigger privatisation in the future".
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This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
rlch
4,140 posts
Posted by rlch > 2013-08-16 16:39 | Report Abuse
Slowly but surely up. Good.