Shanghai stock alert

CHINA

CLOSING UPDATE: Great Wall Motor up 5.4% in 2 days 21 July 2017 15:53 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).

Great Wall Motor, Shanghai's largest auto parts & equipment company by market capitalisation, extended its gains on Friday, rising an additional 54.0 fen (or 4.3%) to trade at CNY13.13. Trading volume was 1.7 times average at the end of the day. The shares have risen 67.0 fen (or 5.4%) over the past two trading days vs. the SSE 180 Index which has fallen 0.3% in the same period.

Technical indicators complementing today's significant uptrend:

+ The stock has outperformed 88% of the Shanghai market over the past 6 months.

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

Undervaluation:

+ Dividend yield of 2.7% [2.0%]

+ Return on Equity 22.3% [18.2%]

Other Bullish Signals include:

+ Total Liabilities/EBITDA of 3.6 is comfortably below the Joseph Piotroski benchmark of <5.

+ Tobin's Q Ratio is 0.9. Compared with the rest of the market the stock is undervalued.

+ Net profit margin has averaged 11.4% in the last 3 years. This is better than the sector average of 5.8% and suggests a high margin of safety.

+ As per the Du Pont analysis, Return on Equity is high at 22.3%. Also, this has improved from 21% last year.

Note

Great Wall Motor today is at a discount of 10.9% to the 12-month high of CNY14.73 on 11 Apr, 2017. It is at a premium of 42.1% to the 12-month low of CNY9.24 on 25 Jul, 2016.

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

Overvaluation:

Price/Earnings of 11.3 [8.9]

Price/Earnings/Growth of 0.86 [0.3]

Price/Sales of 0.8 [0.6]

TODAY'S ALERTS

Afternoon Alert: Great Wall Motor lifts 3.6% on robust volume

21 July 2017 13:01 CST

Great Wall Motor Co., Ltd. (SS:601633) traded on heavy volume of 1.7 times average so far today while the price lifted 45.0 fen (or 3.6%) to trade at CNY13.04.

Morning Alert: Great Wall Motor lifts 2.3% on robust volume

21 July 2017 10:43 CST

Great Wall Motor Co., Ltd. (SS:601633) traded on heavy volume of 1.4 times average so far today while the price lifted 29.0 fen (or 2.3%) to trade at CNY12.88.

RECENT ALERTS

CLOSING UPDATE: Great Wall Motor in 3rd consecutive fall, nears two-month low

19 July 2017 15:54 CST

Great Wall Motor, Shanghai's largest auto parts & equipment company by market capitalisation, slipped further on Wednesday, sliding an additional 11.0 fen (or 0.9%) to trade at CNY12.46. The stock dropped 2.82% on Monday and 1.49% on Tuesday bringing its 3-day fall to 5.1%. It is now approaching its 40-day low of CNY12.29. Compared with the SSE 180 Index which rose 82.7 points (or 1%) in the day, this represented a relative price change of -1.9%.

Afternoon Alert: Great Wall Motor keeps sliding: down 5.2% in 3 days

19 July 2017 13:06 CST

Great Wall Motor Co., Ltd. (SS:601633) extended its slide on Wednesday, shedding an additional 12.0 fen (or 1.0%) to trade at CNY12.45. Trading volume was 92% of average so far today. The shares have fallen 68.0 fen (or 5.2%) over the past three trading days vs. the SSE 180 Index which has risen 0.6% in the same period.

Great Wall Motor Co., Ltd. (SS:601633; SHA:601633; CH:601633)

ISIN: CNE1000018V8

PermID: 4295864422

Source: www.BuySellSignals.com