Hong Kong Shares priced in bubble zone

[soros]

I suspect most speculators ( share traders ) in Hong Kong never see these statements issued by SFC and HKEX . They are focused on making money and will get their tips on what to buy at early morning breakfast meetings in the dim sum restaurants.

Its rather like cigarette smokers, they will take the cigarette from the pack and ignore the health warning on the outside of the pack.

[specuvestor]

^^Today Hengten back to HK$0.29, for HKD21.6b market cap. Those who believe in efficient or perfect markets doesn't go out often.

Thought I should just scribble down that last Year's HK IPO "Jaw-Drop award" probably goes to Luk Hing Entertainment 8052.hk

Issued at HKD0.21 and closed first day at HKD4.20, up 20X. Closed second day at HKD1.25, down -70% from previous close, but still up 6X from IPO price. Now trading HKD1.33, HKD2.4b market cap for a HKD125.5m FY2015 revenue, HKD11.6m income, making it 207XPE15.

Nope there's no typo there. It's times like this that I think SGX is not that bad (Ugly contest)

Other contenders are KW Nelson (8411.hk), CMon (8278.hk), Altus (8149.hk), Goal Forward (8240.hk) but they have come back to planet earth

But the HK IPO "Bubble Award" probably go to Luen Wong group (8217.hk) issued at HKD0.26 closed today HKD24.95 for HKD31b market at HKD10m FY16 profit, making a PE of 3100

OOH Holdings (8091.hk) and PF Group (8221.hk) probably are trying for the 2017 awards.

looks very like rampant price manipulation. With things like this happening it makes one wonder if there is any integrity at all in their financial system. Really like stock market == casino loh. get the IPO share is like kena JACKPOT.

"Another HK IPO Halted as Regulator Inspects Rocketing Debuts --

Market Talk Speed Apparel (8183.HK) delays its debut on Hong Kong's GEM board (a "buyers beware" second board for start-ups)
as the Securities and Futures Commission combats the wild roller coaster seen in trade for GEM stocks.

Speed Apparel says it needs more time to deal with the enquiries made by the regulators, says the HK-based knitwear maker.

This is the second such incident in five days; Bodibra Group (8297.HK) also delayed its debut on GEM on Monday for similar reasons.

Both issuers were seeking to list via the "all-placing method", which means few or no "genuine" public shareholders, which can see shares surge on debut.

Advertising display agent OOH (8091.HK) rocketed 29x on debuted on Jan 6.
,,,All those gains were wiped out in the next 5 days."

- Broker's notes

[cyclone]

IPO's 543% Surge Halted by Hong Kong Regulators on Its Debut

Hong Kong’s securities regulator suspended trading in a company’s stock after it rose 543 percent on its public market debut.

Shares of GME Group Holdings Ltd., a tunnel excavating subcontractor, were suspended from 1 p.m. local time on Wednesday by the Securities and Futures Commission. The shares were trading for the first time on the city’s exchange for small companies, called the Growth Enterprise Market.

“This is very surprising,” said Ricky Chim, who represents the financial services constituency in the city’s election committee, and was speaking about the suspension occurring on the first day of trading. “It has never happened according to my recollection.”

More details in https://www.bloomberg.com/news/articles/...ding-debut

[BlueKelah]

IPO's 543% Surge Halted by Hong Kong Regulators on Its Debut

Hong Kong’s securities regulator suspended trading in a company’s stock after it rose 543 percent on its public market debut.

Shares of GME Group Holdings Ltd., a tunnel excavating subcontractor, were suspended from 1 p.m. local time on Wednesday by the Securities and Futures Commission. The shares were trading for the first time on the city’s exchange for small companies, called the Growth Enterprise Market.

“This is very surprising,” said Ricky Chim, who represents the financial services constituency in the city’s election committee, and was speaking about the suspension occurring on the first day of trading. “It has never happened according to my recollection.”

More details in https://www.bloomberg.com/news/articles/...ding-debut

perhaps Beijing gov is finally putting down the hammer on stock market "hanky panky"

[soros]

Here is another overpriced share : Foodwise Hldg( 01632 .HK)

On debut, FOODWISE HLDG (01632.HK) +1.000 (+7.342%) opened at $3.06, up 53% against the listing price of $2, on volume of 14 million shares in pre-market orders.
(Quote is delayed for at least 15 mins.) on 29 Nov 2016.

The SFC has recently completed an enquiry into the shareholding of FOODWISE HLDG (01632.HK) +1.000 (+7.342%) . SFC findings suggested that as at 8 December 2016, 21 shareholders held an aggregate of 30.124 million shares of the company, representing 15.06% of the issued shares. Such shareholding, together with the 150 million Shares (representing 75.0% of the issued shares) held by two executive directors of the company, represented 90.06% of the issued shares as at 8 December 2016. Therefore, only 19.876 million shares (representing 9.94% of the issued shares) were held by other shareholders.
(Quote is delayed for at least 15 mins.) - Posted on 20 Dec 2016 ( copied from aastocks website ) .


Closing today on 9 Mar 2017 : $14.62

[soros]

David Webb and 50 stocks to avoid :

http://www.aastocks.com/en/stocks/analys...stock-news

[YMPL]

One more to avoid, on top of the list   Oh, maybe it is on the list, I have not seen the list yet

China Unicom Units Inflated Sales for Years, Document Shows

China United Network Communications Group Co., the state-run phone giant known as Unicom Group, found what it described as an unprecedented degree of falsified revenue, profit and asset figures at units in the northwestern province of Shaanxi, according to an internal document seen by Bloomberg News. Its shares fell in Hong Kong.
https://www.bloomberg.com/news/articles/...ment-shows

[soros]

Evergrande shares ( 03333.HK ) reached a new all-time high at lunch time today , closing at $15.52 and imho flying well into the bubble zone.

Shares are priced at PE = 37 and 4.3 x NAV.

Next higher priced share is Country Garden ( 02007.HK ) closing at $9.53 . The shares are priced at PE = 16.44 and 2.64 x NAV.

[opmi]

Kaisa also up. Is it a Guangdong thing since all 3 do business mainly in the Pearl River Delta??

[soros]

I think that Evergrande has made a lot of investors connections : here below is an extract from the Annual Report.

The management of the Group places high emphasis on the exchange with investors. During the year, the management
organized 2 large-scale results road shows (non-deal), 2 high level investor reverse road shows and an annual general
meeting, and made arrangements for approximately 397 people to pay site visits to real estate projects of the Group around
the country. Those 2 results road shows (non-deal) were organized by Goldman Sachs, Citibank, JP Morgan, Bank of
America Merrill Lynch, DBS Bank, Credit Suisse, Deutsche Bank and Jefferies. The management has visited the world’s key
financial centers, such as Hong Kong, London, Los Angeles, New York, Boston and Singapore, with frequent interactions
with 421 investment institutions on matters such as development strategies, industry prospects and future plans.