Shanghai stock alert

CHINA

CLOSING UPDATE: China Communications Construction - A Share dropped 2.4% on robust volume 25 July 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).

China Communications Construction - A Share, Shanghai's 2nd largest engineering & construction company by market capitalisation, traded on heavy volume of 1.4 times average today while the price dropped 41.0 fen (or 2.4%) to trade at CNY16.57. Compared with the SSE 180 Index which fell 38.7 points (or 0.5%) in the day, this represented a relative price change of -1.9%.

Technical indicators complementing today's significant downtrend:

+ The price sank 4.1% in the last week.

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

Overvaluation:

+ Price/Earnings of 16.6 [12.7]

+ Price to Book of 12.2 [3.9]

+ Dividend yield of 1.2% [1.6%]

+ Year-on-Year Earnings Growth of 4.2% [9.5%]

Other Bearish Signals include:

+ Net profit margin has averaged 3.9% in the last 3 years. This suggests the company is less profitable with a low margin of safety.

Note

China Communications Construction - A Share today is at a discount of 14.8% to the 12-month high of CNY19.44 on 24 Mar, 2017. It is at a premium of 60.5% to the 12-month low of CNY10.32 on 27 Jul, 2016.

The stock has outperformed 76% of the Shanghai market over the past 6 months.

Bullish Signals:

The positive 0.34 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

The present value of CNY1,000 invested one year ago is CNY1,585 [vs CNY1,171 for the SSE 180 Index].

Tobin's Q Ratio is 0.2. Compared with the rest of the market the stock is undervalued and ranks in the top 5% of stock by value of Q Ratio.

As per the Du Pont analysis, Return on Equity of 11.4% is better than sector average of 9.8%.

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

Undervaluation:

Price/Earnings/Growth of 1.2 [1.3]

Return on Equity 11.4% [9.8%]

Return on Assets 2.2% [1.9%]

TODAY'S ALERTS

Afternoon Alert: China Communications Construction - A Share down 3.9% in 2 days

25 July 2017 13:01 CST

China Communications Construction Company Limited - A Share (SS:601800) extended its slide on Tuesday, shedding an additional 33.0 fen (or 1.9%) to trade at CNY16.65. Trading volume was 92% of average so far today. The shares have fallen 67.0 fen (or 3.9%) over the past two trading days vs. the SSE 180 Index which has risen 0.2% in the same period.

Morning Alert: China Communications Construction - A Share down 3.4% in 2 days

25 July 2017 10:43 CST

China Communications Construction Company Limited - A Share (SS:601800) extended its slide on Tuesday, shedding an additional 25.0 fen (or 1.5%) to trade at CNY16.73. Trading volume was 66% of average so far today. The shares have fallen 59.0 fen (or 3.4%) over the past two trading days vs. the SSE 180 Index which has risen 0.6% in the same period.

RECENT ALERTS

CLOSING UPDATE: China Communications Construction - A Share decreased 2.0%

24 July 2017 15:52 CST

China Communications Construction - A Share, Shanghai's 2nd largest engineering & construction company by market capitalisation, traded on volume of 1.0 times average today while the price decreased 34.0 fen (or 2.0%) to trade at CNY16.98. Compared with the SSE 180 Index which rose 28.1 points (or 0.3%) in the day, this represented a relative price change of -2.3%.

Afternoon Alert: China Communications Construction - A Share decreases 0.9%, leads Engineering & construction sector lower

24 July 2017 13:00 CST

China Communications Construction Company Limited - A Share (SS:601800) has decreased 0.9% to trade at CNY17.17 vs. the Engineering & construction sector which weakened 5.5 points (or 0.02%) to 22,693.2. Representing a weighting of about 21.7% of the sector, the stock accounted for the loss. Trading volume was 68% of average so far today.

China Communications Construction Company Limited - A Share (SS:601800; SHA:601800; CH:601800)

ISIN: CNE100001FN5

Source: www.BuySellSignals.com