Shanghai stock alert

CHINA

CLOSING UPDATE: SAIC Motor- A Share decreases gains by 0.2%, led Motor vehicles sector higher 19 January 2018 16:05 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).

SAIC Motor- A Share, Shanghai's largest motor vehicles company by market capitalisation, has increased 1.0% to trade at CNY32.83 vs. the Motor vehicles sector which strengthened 326.7 points (or 1.5%) to 22,265.7. Representing a weighting of about 61.6% of the sector, the stock accounted for 39.4% of today's gain. The shares have outperformed 90% of the market in the past one year. Trading volume was 1.2 times average at the end of the day. Compared with the SSE 180 Index which rose 44.1 points (or 0.5%) in the day, this represented a relative price increase of 0.5%.

Technical indicators complementing today's significant uptrend:

+ The positive 0.33 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

+ The 4.3% discount to 12-month high of CNY34.30 against the 44.1% premium to 12-month low of CNY22.79 suggests the stock continues to push for new highs.

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

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

Undervaluation:

+ Price/Earnings of 10.9 [16.3]

+ Price/Sales of 0.5 [0.7]

+ Price to Book of 2.1 [2.4]

+ Dividend yield of 5% [3.4%]

+ Return on Equity 17.9% [12.0%]

+ Return on Assets 7.4% [4.6%]

+ Return on Capital Employed 17.2% [13.4%]

Other Bullish Signals include:

+ Tobin's Q Ratio is 0.6. Compared with the rest of the market the stock is undervalued and ranks in the top quartile of stock by value of Q Ratio.

+ Net profit margin has averaged 6% in the last 3 years. This is better than the sector average of 4% and suggests a high margin of safety.

+ As per the Du Pont analysis, Return on Equity of 17.9% is better than sector average of 12.0%.

Note

Bearish Signals:

The price dropped 3.2% in the last week.

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

Overvaluation:

Price/Earnings/Growth of 1.72 [1.2]

Year-on-Year Earnings Growth of 11% [13.2%]

TODAY'S ALERTS

Afternoon Alert: SAIC Motor- A Share increases 1.1%, leads Motor vehicles sector higher

19 January 2018 13:08 CST

SAIC Motor Corporation Limited (SS:600104) has increased 1.1% to trade at CNY32.89 vs. the Motor vehicles sector which strengthened 416.3 points (or 1.9%) to 22,355.3. Representing a weighting of about 61.5% of the sector, the stock accounted for 36.8% of today's gain. The shares have outperformed 90% of the market in the past one year.

Morning Alert: SAIC Motor- A Share increases 0.6%, leads Motor vehicles sector higher

19 January 2018 10:56 CST

SAIC Motor Corporation Limited (SS:600104) has increased 0.6% to trade at CNY32.72 vs. the Motor vehicles sector which strengthened 345.8 points (or 1.6%) to 22,284.8. Representing a weighting of about 61.3% of the sector, the stock accounted for 23.9% of today's gain. The shares have outperformed 90% of the market in the past one year. Trading volume was 70% of average so far today.

RECENT ALERTS

Morning Alert: SAIC Motor- A Share inches higher, resistance at 12-day EMA

18 January 2018 10:59 CST

SAIC Motor Corporation Limited (SS:600104) has increased 0.5% but fell short of the 12-day Exponential Moving Average [EMA] of CNY32.70.

CLOSING UPDATE: SAIC Motor- A Share down 4.6% in 2 days

16 January 2018 16:00 CST

SAIC Motor- A Share, Shanghai's largest motor vehicles company by market capitalisation, extended its slide on Tuesday, shedding an additional CNY1.19 (or 3.5%) to trade at CNY32.34. Trading volume was 2.0 times average at the end of the day. The shares have fallen CNY1.56 (or 4.6%) over the past two trading days vs. the SSE 180 Index which has risen 0.8% in the same period.

SAIC Motor Corporation Limited (SS:600104; SHA:600104; CH:600104)

ISIN: CNE000000TY6

PermID: 4295865461

Source: www.BuySellSignals.com