Posts tagged ‘R&F PROPERTIES 富力地產 (02777.HK)’

Sir John TempletonPerformance from last week on the our mentioned names is unlikely to be sustainable every week going forward!

We are going to follow Grandma’s rule, which is “eat your carrots first!”.  We will look at how the 5 names mentioned last week from worst to best:

 

Stock Closing Price (8/9) Last Closing Price (8/16) % chg
HK2777 12.84 13 +1.2%
HK1088 23.35 24.85 +6.4%
HK323 1.98 2.11 +6.6%
HK1398 4.97 5.31 +6.8%
HK1138 3.51 3.99 +13.7%

 

All positives which is good!  The non-index names (HK323 and HK1138) performed better than I expected.

Do remember that you didn’t have to pay a dime for the above picks!  That’s probably a better sign because unless our track record is stellar, people are going to be doubtful when a stranger suggest they should part way with their money. 🙂

Many of these names are being widely publicized by the local media, which can be both good and bad.  My general rule-of-thumb is that the public is usually widely attracted by the success stories published in the media, which is turn fuels more buying into those names.  Repeated publicity maybe a sign to sell.

HK1138 and HK1088 are having their financial results announced this coming week.

 

– Mr. Alpha

 

Picture from link: http://channerinvestment.com/blog/2009/11/warren-buffett-has-done-it-again/

Sir John Templeton“To buy when others are despondently selling, and to sell when others are avidly buying, requires the greatest of fortitiude, and pays the greatest ultimate reward.” – Sir John Templeton

 

I would like to re-visit this quote, and this about which industries are being despondently sold in the current market.  Which are the industries and investors do not want to touch with a 10 foot pole?

 

Shipping Industry (CHINA SHIP DEV 中海發展股份 (01138.HK))

Steel Industry (MAANSHAN IRON 馬鞍山鋼鐵股份 (00323.HK))

Coal Industry (CHINA SHENHUA 中國神華 (01088.HK))

China Real Estate (R&F PROPERTIES 富力地產 (02777.HK))

China Bank Industry (ICBC 工商銀行 (01398.HK))

 

The first 2 companies are smaller, and probably more risky, but the bottom 3 is much more established and have a lower risk of downside volatility.  By definition, stocks can only be depressed if people are selling.  There is no other reason why a stock keeps dropping.

If the quality of the company is good, then perhaps fortitude is required to execute on the buying opportunity!

– Mr. Alpha

 

Picture from link: http://channerinvestment.com/blog/2009/11/warren-buffett-has-done-it-again/

Alpha InvestmentsBelow is a short summary of all the stocks mentioned in the Alert! series and their subsequent price performance.  The column “closing price (DP)” quotes the price the day after the post was live:

 

Stock Date posted Closing Price Last closing price % gain
HK2777 Nov-18 10.54 11 4.4%
HK8220 Nov-11 0.13 0.157 20.8%
HK282 Oct-02 0.88 1.48 68.2%
HK2688 Sep-02 30.85 34.65 12.3%

 

All positive gains!  Congrats to those who found our articles interesting for action!

Nov 27th is an important date on Next Media as that is the date of signing for the Taiwan Business sale announced as of now.  More to come later on this!

-Mr. Alpha

 

HK2777A Nice VWAP trend observed for HK2777!  Its interesting how the recent positive area under the curve matches with the positive trend in price.

 

 

 

Stock Date  Closing Price
HK2777 11-16 10.6

We are not just observing strong positive technical indicators for HK2777, but also for the below China property developers:

 

AGILE PROPERTY 雅居樂地產 (03383.HK)

KWG PROPERTY 合景泰富 (01813.HK)

GREENTOWN CHINA 綠城中國 (03900.HK)

FANTASIA 花樣年控股 (01777.HK)

 

We know CIFI Holdings (00884.HK) is a China property develop, and may be the reason why the sector is getting some positive attention.  The above names may be an interesting short term opportunity, given we need to be mindful the China property sector is extremely sensitive to Government Policy.  And these policies, we have no crystal ball to predict.

 

– Mr. Alpha