Shanghai stock alert

CHINA

CLOSING UPDATE: Jiangsu Hengrui Medicine keeps sliding: down 3.4% in 3 days 15 June 2018 16:07 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, extended its slide on Friday, shedding an additional 31.0 fen (or 0.4%) to trade at CNY75.98. The shares have fallen CNY2.69 (or 3.4%) over the past three trading days vs. the SSE Composite Index which has fallen 1.9% in the same period.

Technical indicators complementing today's significant downtrend:

+ The price tumbled 6.3% in the last week.

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

Overvaluation:

+ Price to Book of 18.5 [4.2]

+ Dividend yield of 0.1% [1.1%]

Other Bearish Signals include:

+ Tobin's Q Ratio is 15.5. Compared with the rest of the market the stock is overvalued and ranks in the bottom 1% of stocks by value of Q Ratio.

Note

Jiangsu Hengrui Medicine today is at a discount of 8.8% to the 12-month high of CNY83.29 on 07 Jun, 2018. It is at a premium of 107.5% to the 12-month low of CNY36.62 on 10 Jul, 2017.

Bullish Signals:

The positive 2.87 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

The stock has outperformed 99% of the Shanghai market over the past 6 months.

In the last three months the stock has hit a new 52-week high fifteen times, pointing to a significant uptrend.

The present value of CNY1,000 invested one year ago is CNY1,990 [vs CNY965 for the SSE Composite Index].

Total Liabilities/EBITDA of 0.7 is comfortably below the Joseph Piotroski benchmark of <5.

Net profit margin has averaged 23.8% 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%. Also, this has improved from 20.9% last year.

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

Undervaluation:

Return on Equity 20.9% [9.0%]

Return on Assets 18.3% [3.4%]

Return on Capital Employed 23.5% [9.4%]

TODAY'S ALERTS

Afternoon Alert: Jiangsu Hengrui Medicine keeps sliding: down 3.7% in 3 days

15 June 2018 13:09 CST

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276) extended its slide on Friday, shedding an additional 54.0 fen (or 0.7%) to trade at CNY75.75. Trading volume was 71% of average so far today. The shares have fallen CNY2.92 (or 3.7%) over the past three trading days vs. the SSE Composite Index which has fallen 2.1% in the same period.

Morning Alert: Jiangsu Hengrui Medicine keeps sliding: down 4.2% in 3 days

15 June 2018 10:49 CST

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276) extended its slide on Friday, shedding an additional 89.0 fen (or 1.2%) to trade at CNY75.40. Trading volume was 76% of average so far today. The shares have fallen CNY3.27 (or 4.2%) over the past three trading days vs. the SSE Composite Index which has fallen 1.4% in the same period.

RECENT ALERTS

CLOSING UPDATE: Jiangsu Hengrui Medicine down 3.0% in 2 days

14 June 2018 16:07 CST

Jiangsu Hengrui Medicine, Shanghai's largest chemicals company by market capitalisation, extended its slide on Thursday, shedding an additional 71.0 fen (or 0.9%) to trade at CNY76.29. Trading volume was 1.1 times average at the end of the day. The shares have fallen CNY2.38 (or 3.0%) over the past two trading days vs. the SSE Composite Index which has fallen 1.2% in the same period.

Afternoon Alert: Jiangsu Hengrui Medicine down 2.8% in 2 days

14 June 2018 13:00 CST

Jiangsu Hengrui Medicine Co., Ltd. (SS:600276) extended its slide on Thursday, shedding an additional 51.0 fen (or 0.7%) to trade at CNY76.49. Trading volume was 68% of average so far today. The shares have fallen CNY2.18 (or 2.8%) over the past two trading days vs. the SSE Composite Index which has fallen 1.3% in the same period.

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

ISIN: CNE0000014W7

PermID: 4295864294

Source: www.BuySellSignals.com