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Delong Holdings Ltd (DELO)

Singapore
Currency in SGD
Disclaimer
6.980
0.000(0.00%)
Closed

DELO Comments

Check out my analysis of Delong Holdings at the link below! . . https://www.investing.com/analysis/delong-holdings-undervalued-or-value-trap-200336869
Delong’s is trading below its EPS for 9M2017 of S$3.30 and NAV/share as at 30/9/17 of S$8.20.. (Delong EPS for 9M2017 is RMB15.82 and its NAV as at 30/9/17 is RMB39.36: use fx rate of 4.8). The 9M2017 results is a record performance since Delong’s inception due to the strong turnaround in the steel industry in China..  . Currently it is trading below PE of 1.0X which is inexplicable given that comparable listed steel companies in our region are trading at PEs from 7.5X to 22.0X. In particular, China Oriental Group (China Steel Producer) listed in HK is trading at a PE of above 8.0X (check Bloomberg)..  . Read COG's Chairman report in its 6M2017 announcement to appreciate how the steel industry is turning around in China. Prices have risen by 54.8% due to China government’s “Supply-Side-Reform” policy. (check COG’s 6M2017 report).. . Based on financial analysis, Delong is grossly undervalued.
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