Quite a few readers have been wondering whether the relatively high P/E valuations of China’s equity markets were justified. This is my response: I would say that type of PE valuation is reasonable for most of the Chinese companies. As everyone knows, growth in China has been very robust over the past several years, and […]
Archive:
August 2008
Overview: Chinese Mengniu Dairy: China’s Mengniu dairy was founded in 1999 by a group of seasoned dairy market professionals previously employed by the state-owned Yili Dairy. Mengniu began trading on the Hong Kong Stock Exchange in June 2004. Our DCF based price target is currently HKD26.16: Given Mengniu’s historically strong growth, its ability to generate […]
China’s robust economic growth has led to significant increases in wealth, which has ultimately led to a shift in consumer preferences. This shift has been especially realized in the food and beverage industry. Chinese caloric intake has increased substantially over the past decade, and will continue to climb likely doubling over the next decade. The […]
As an additional follow-up to my ADR series, I am going to take a look at the Chinese and Hong Kong healthcare sector. There are 6 key Chinese and Hong Kong ADRs within the GICS healthcare sector: Mindray Medical International (MR), Chine Medical Technologies (CMED), Wuxi PharmaTech (WX), Simcere Pharmaceutical (SCR), 3SBio (SSRX), and Tongjitang […]
As a follow-up to my energy sector ADR piece I am going to take a look at the Chinese and Hong Kong Financial sector ADRs. There are 3 Chinese and Hong Kong ADRs within the GICS financial sector: China Life Insurance (LFC), E-House (EJ), and Xinyuan Real Estate (XIN). Chinese & HK Financial Sector ADRs […]
This is a working list of Chinese government policies aimed at stemming growth in the Chinese real estate sector. Please feel free to comment if there is something I am missing. A major source for this was E-House’s annual report. The following regulations were put in place in 2003: Real estate developers are required to […]