The Chinese economy "slowed" to 9.1% in the 3rd quarter. The bearish case when it comes to Xin has become pathetic. Growth in China is strong, earnings growth for Xin is strong, valuation is absurdly cheap, book value is 4 times the stock price, and it pays an annual dividend of 10 cents. Xin is the most undervalued stock on the New York stock exchange.
<<Xin is the most undervalued stock on the New York stock exchange.>>
Walrath, I think you hit it on the head with XIN! It boggles the mind that its selling so low, thus showing once more that the equities markets are irrational, and inefficient, especially over the short term, but they eventually smooth out and come to their senses , but the waiting can be a pain, as you well know.
Whats not to love about this stock?
"Xinyuan Real Estate (XIN) is acting within the residential construction industry and home based in China. The company has a market capitalization of $136.9 million, generates revenue in an amount of $519.2million and a net income of $72.5 million. Its P/E ratio is 1.9 and forward price-to-earnings ratio 1.1, Price/Sales 0.3 and Price/Book ratio 0.2. Dividend Yield: 5.6 percent."
I think you're right Wal when you say most of the downside is priced
in. The low you hit just recently should just about be the bottom, no
matter which way it goes on politics and economics.
What you said is fine. Of course I don't agree with all of it. The Chinese do have a market system. There system is fascist more than communist. A capitalist dictatorship is perhaps the best way to describe it. In some ways they resemble 19th century America in terms of economic development. The point is that they have tremendous pent up demand because of massive poverty. The government will have to find a way to meet the demands of the people. Xin should be the beneficiary of massive increases in demand for housing. Could things go wrong? Of course but with a pe of 2 downside risk is already priced in.
How many "do I believes" was that? Doesn't matter Golf what I believe, or you believe.....the markets (which don't read yahoo
message boards), will determine where the price goes. There's your