by winston » Wed Feb 17, 2016 9:39 pm
not vested
China Lesso is a leader in the plastic pipe industry in China.
The Chinese Government has already mapped out a plan to spend Rmb4t in hydraulic engineering in the coming decade, hence, stimulating demand for the company’s products.
Besides plastic pipes, Lesso intends to expand its new businesses, namely building materials & interior decoration products, ecommerce and aquaculture raft system, which altogether are expected to see revenue growth of 30% yoy in the near future and largely break even.
We like China Lesso because
a) it has a solid balance sheet and operation history,
b) overseas expansion may diversify income sources,
c) benefits from a housing and construction recovery in 1H16, and
d) expansion in new businesses may drive revenue growth.
Source: UOBKH
It's all about "how much you made when you were right" & "how little you lost when you were wrong"