SYUT, I took a look at their profile, at a P/E of 49 and 37% short interest, no and sorry, I take my word back. I would not touch this thing even at $23. I actually think this one has more downside from here than upside. $10 is not far fetched believe it or not.
This kind of companies based on their business on those Chinese who think "the moon in the West is rounder than that in China". They make their profit by serving small cluster of stupid wealthy Chinese.
Nutritional staff? nothing is more nutritional than traditional Chinese drinks and food, like Yin Er, Chinese date, water lily seeds, soy milk, sweet rice wine, black Mu Er, Bai He... You name it, the list goes on and on. Personally, I would never spend one single penny to buy SYUT overpriced so-called nutritional product<g>
While on the other hand, VIMC and SPRD has a reasonable P/E and high growth rate. Yes they have lost a lot of money last year, and they are suffering from a down turn. But this is exactly the time to bottom fishing. Take a look at the chart, you will know what I mean. VIMC now is #1 IC producer in the world for computer video camera, and well position themselves for future. Both of these stocks are thinly traded, in case of VIMC, 82% insider holding. Not sure about SPRD though.
Some people speculating that VIMC wants to buy back the whole company and then may be IPO in China's stock market, since they have not been respected in the US market (how many companies sold at or below cash level?). With such a high insider holding and $3.3 cash an ADR share, I would not be surprised in case this happens. |
