Shanghai stock alert

CHINA

CLOSING UPDATE: Jiangsu Hengrui Medicine hits 52-week high fifth time in one month 18 October 2017 15:54 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).

Jiangsu Hengrui Medicine, Shanghai's largest chemicals company by market capitalisation, hit a 52-week high of CNY63.95 today for the fifth time in the past one month and last traded at CNY63.65. Trading volume was 86% of average at the end of the day. Compared with the SSE 180 Index which rose 68.9 points (or 0.8%) in the day, this represented a relative price change of -1.1%.

Technical indicators complementing today's significant uptrend:

+ The positive 1.9 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The stock has outperformed 96% of the Shanghai market over the past 6 months.

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

+ The price increased 2.0% in the last week and jumped 8.7% in the last month.

+ The present value of CNY1,000 invested one year ago is CNY1,640 [vs CNY1,192 for the SSE 180 Index].

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

Undervaluation:

+ Return on Equity 20.9% [4.7%]

+ Return on Assets 18.4% [1.7%]

+ Return on Capital Employed 23.2% [5.3%]

Other Bullish Signals include:

+ Total Liabilities/EBITDA of 0.6 is comfortably below the Joseph Piotroski benchmark of <5.

+ Net profit margin has averaged 22.9% in the last 3 years. This is considered superior and suggests a high margin of safety.

+ As per the Du Pont analysis, Return on Equity is high at 20.9%.

Note

Bearish Signals:

Tobin's Q Ratio is 12.5. Compared with the rest of the market the stock is overvalued and ranks in the bottom 2% of stocks by value of Q Ratio.

Overbought/Bearish:

The 0.5% discount to 12-month high of CNY63.95 against the 71.3% premium to 12-month low of CNY37.16 suggests the climb might be peaking.

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

Overvaluation:

Price/Sales of 14.8 [1.7]

Price to Book of 14.8 [4.6]

Dividend yield of 0.2% [0.9%]

TODAY'S ALERT

Morning Alert: Jiangsu Hengrui Medicine hits 52-week high fifth time in one month

18 October 2017 10:42 CST

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276) hit a 52-week high of CNY63.95 today for the fifth time in the past one month and last traded at CNY63.47. Trading volume was 74% of average so far today.

RECENT ALERTS

CLOSING UPDATE: Jiangsu Hengrui Medicine hits 52-week high fourth time in one month

16 October 2017 15:54 CST

Jiangsu Hengrui Medicine, Shanghai's largest chemicals company by market capitalisation, hit a 52-week high of CNY63.95 today for the fourth time in the past one month and last traded at CNY63.02. Trading volume was 92% of average at the end of the day. Compared with the SSE 180 Index which rose 41.8 points (or 0.5%) in the day, this represented a relative price change of -0.3%.

Afternoon Alert: Jiangsu Hengrui Medicine hits 52-week high fourth time in one month

16 October 2017 13:03 CST

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276) hit a 52-week high of CNY63.95 today for the fourth time in the past one month and last traded at CNY62.83. Trading volume was 73% of average so far today.

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276; SHA:600276; CH:600276)

ISIN: CNE0000014W7

PermID: 4295864294

Source: www.BuySellSignals.com