Yingde Gases 2168

[winston]

Not vested. From Dr. Check, The Standard HK:-

Gas supplier sparks optimism on the sidelines

Let's look at Yingde Gases (2168) - the mainland's largest independent industrial gas supplier. Yingde produces and supplies a variety of industrial gases.

It builds production plants or facilities near its clients, hence forging a strong relationship with them. Yingde listed last October, raising HK$3.1 billion. This will be used to boost capacity. The initial public offering price was HK$7. It then surged to a high of HK$9.44 before consolidating to HK$7.50.

Yingde yesterday announced that earnings last year amounted to 530 million yuan (HK$602.74 million), better than the 450 million yuan it forecast in its IPO prospectus.

But the stock fell to HK$8.88. Morgan Stanley targets HK$9.20. Based on its growth potential, the stock looks ripe near HK$8.50.

http://www.thestandard.com.hk/news_deta ... 00330&fc=2

[lithium]

This baby looks interesting. Around IPO price now

[winston]

Not vested

DJ MARKET TALK:Yingde's Value To Emerge After Recent Pullback -GS
Jul 16, 2010

0914 [Dow Jones] STOCK CALL: GS believes recent pullback due to concerns over deteriorating steel sector outlook with margin squeeze resulting in lower production, but thinks sector's weakness will not necessarily extend into FY11.

"It may still take time for the macro news flow and sentiment to improve." Keeps stock at Neutral.

Source: Dow Jones Newswire

[winston]

Not vested. Cant see any catalysts..

DJ MARKET TALK: MS Trims Yingde Target But Keeps At Overweight
Jul 15, 2010

1200 [Dow Jones] STOCK CALL: Morgan Stanley trims Yingde Gases (2168.HK) target price to HK$9.89 from HK$10.42 on lower EPS estimates. Expects slowdown in steel production at existing steel mill customers will likely result in lower demand of industrial gases from 2H10 to 2011; potential lower steel production may also drag down expected profits from new projects to be commissioned in 4Q10, due to potentially longer ramp-up period.

Still, keeps Overweight call given attractive valuation, catalysts on new projects to be announced.

Source: Dow Jones Newswire

[winston]

Not vested.

FINANCIAL HIGHLIGHTS

● Turnover of our Group was RMB1,316 million, representing an increase of 43.5%
compared with the corresponding period in 2009.

● Profit attributable to equity shareholders of our Company amounted to RMB326 million,
representing an increase of 40.0% compared with the corresponding period in 2009.

● Basic earnings per Share was RMB0.18, representing an increase of 13.9% compared with the corresponding period in 2009.

http://www.hkexnews.hk/listedco/listcon ... 824148.pdf

[winston]

Not vested

DJ MARKET TALK: MS Trims Yingde Target But Still Overweight

1154 [Dow Jones] STOCK CALL: Morgan Stanley trims Yingde Gases (2168.HK) target price to HK$9.73 from HK$9.89 after cutting FY10-11 EPS forecasts by 2.4%, 9.3% respectively; keeps Overweight call to reflect Yingde's long-term growth potential in industrial gas demand in China, leadership in on-site gas market, upcoming new projects.

House believes stock will be range-bound near term as result of low steel production at least until end of 2010 due to power supply restriction to steel mills caused by local government energy efficiency and emission targets for end-2010, but expects steel production to recover at Yingde's steel customers once restrictions removed, potentially in early 2011.

"We believe we are in a cyclical downturn of a long-term promising sector." Stock down 0.4% at HK$6.99.

Source: Dow Jones Newswire