Shanghai stock alert

CHINA

CLOSING UPDATE: Inner Mongolia Yili Industrial - A Share hits 52-week high ninth time in one month 16 January 2018 16:00 CST

NEWS BITES - BRIC

This is an end of day Alert, produced after today's Shanghai market close. It concludes the BSS News Bites intra-day Alert series (summaries below).

Inner Mongolia Yili Industrial - A Share, Shanghai's largest agriculture/forestry company by market capitalisation, hit a 52-week high of CNY35.93 today for the ninth time in the past one month and last traded at CNY34.57. Trading volume was 1.5 times average at the end of the day. Compared with the SSE 180 Index which rose 61.0 points (or 0.7%) in the day, this represented a relative price change of -0.1%.

Technical indicators complementing today's significant uptrend:

+ The positive 0.96 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The 3.8% discount to 12-month high of CNY35.93 against the 101.2% premium to 12-month low of CNY17.18 suggests the stock continues to push for new highs.

+ The stock has outperformed 98% of the Shanghai market over the past 6 months.

+ In the last one month the stock has hit a new 52-week high nine times and in the last three months eighteen times, pointing to a significant uptrend.

+ The present value of CNY1,000 invested one year ago is CNY2,062 [vs CNY1,241 for the SSE 180 Index].

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

+ Price/Earnings of 34.6 [38.2]

+ Return on Equity 24.5% [12.4%]

+ Return on Assets 14.4% [5.7%]

+ Return on Capital Employed 27.2% [12.3%]

+ Year-on-Year Earnings Growth of 29.4% [24.4%]

Other Bullish Signals include:

+ Total Liabilities/EBITDA of 2.1 is comfortably below the Joseph Piotroski benchmark of <5.

+ Net profit margin has averaged 8.2% in the last 3 years. This is better than the sector average of 7.6% and suggests a high margin of safety.

+ As per the Du Pont analysis, Return on Equity is high at 24.5%. Also, this has improved from 23.2% last year.

Note

Bearish Signals:

The price decreased 0.1% in the last week.

Tobin's Q Ratio is 5.4. Compared with the rest of the market the stock is overvalued and ranks in the bottom quartile of stocks by value of Q Ratio.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

Price/Sales of 3.5 [2.6]

Price to Book of 9.5 [5.3]

TODAY'S ALERTS

Afternoon Alert: Inner Mongolia Yili Industrial - A Share lifts 3.4%, leads Agriculture/Forestry sector higher

16 January 2018 13:07 CST

Inner Mongolia Yili Industrial Group Co. - A Share (SS:600887) has lifted 3.4% to trade at CNY35.55 vs. the Agriculture/Forestry sector which strengthened 1,286.5 points (or 5.2%) to 25,918.0. Representing a weighting of about 74.2% of the sector, the stock accounted for 48.0% of today's gain. The shares have outperformed 90% of the market in the past week. Trading volume was 1.3 times average so far today.

Morning Alert: Inner Mongolia Yili Industrial - A Share increases 1.1%, leads Agriculture/Forestry sector higher

16 January 2018 10:55 CST

Inner Mongolia Yili Industrial Group Co. - A Share (SS:600887) has increased 1.1% to trade at CNY34.76 vs. the Agriculture/Forestry sector which strengthened 827.1 points (or 3.4%) to 25,458.6. Representing a weighting of about 73.9% of the sector, the stock accounted for 23.7% of today's gain. The shares have outperformed 83% of the market in the past week. Trading volume was 91% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Inner Mongolia Yili Industrial - A Share increases 1.8% - outperforming 91% of stocks

12 January 2018 16:05 CST

Inner Mongolia Yili Industrial - A Share, Shanghai's largest agriculture/forestry company by market capitalisation, has increased 60.0 fen (or 1.8%) today to trade at CNY34.82 and has outperformed 91% of the market in the past week. A price rise combined with a high relative strength is a bullish signal. Compared with the SSE 180 Index which rose 40.0 points (or 0.4%) in the day, this represented a relative price increase of 1.3%.

Morning Alert: Inner Mongolia Yili Industrial - A Share down 2.0% in 2 days

12 January 2018 10:52 CST

Inner Mongolia Yili Industrial Group Co. - A Share (SS:600887) extended its slide on Friday, shedding an additional 30.0 fen (or 0.9%) to trade at CNY33.92. The shares have fallen 70.0 fen (or 2.0%) over the past two trading days vs. the SSE 180 Index which has risen 0.2% in the same period.

Inner Mongolia Yili Industrial Group Co. - A Share (SS:600887; SHA:600887; CH:600887)

ISIN: CNE000000JP5

PermID: 4295864263

Source: www.BuySellSignals.com