today, with the US market in red, with the China market in trouble, and with the news that VIPS is doing a mega fund raising, VIPS is still well above 20 dma.
I have to say the fundamentals of VIPS are sound and strong.
I have been bullish on VIPS for two years, been bullish on VIPS since it was $ 4.82 /share----the price I paid for my shares.
now, I am still bullish on VIPS.
it seems all of the four are busy courting beautiful girls at the time being, Ali is the most fit one among the four for Vips,
but it doesn't look like Vips is the top one in their lists.
yet, are these four the only hunters?
this is a good idea.
I read a book in the before , the author did some study and statistic, the conclusion he got is that: split does have positive effect on share price, but the effect is limited, because split does not change the fundamentals of a stock, yet it can create positive sentiment on the stock, also it can make it more affordable for more investors. you've got to know that in the world, many people want to buy shares of Google but can not afford.
now, VIPS has a share price of $166, a 2 for 1 split should be good.
of course it is possible, but why does VIPS need a secondary soon?
management said no further M&A in the near future. profit is over $50m us$ this year.
VIPS can use profit to grow.
depends, in the china market, things are uneven, also competition is fierce. when you sell something with high margin, many other people will jump in and do the same thing, that squeeze the margin.
it is still in a rapidly expanding mode. this year is important, if things are going on well, $1000 will come earlier.
but I see it slowing a bit later this year and 2015, largely because the size of the company is bigger and cosmetics have lower profit margin.
of course the #1 thing is if the company is doing well or bad.
but it does matter who is holding the shares. if a big and strong hand like Goldcorp keeps holding the shares, share price will go up more if things are good and share price will drop less if things are bad.
a lot of factors are affecting the share price.
just for Goldcorp is selling, it is a negative factor.
a new owner(or a few new owners, or a lot of new owners) might hold the shares, or sell some of the shares or sell all of the shares.
is there a big and strong and steady hand take over the shares Goldcorp is selling? IF there is, then, this is a very bullish Factor.
it's a syndicate of underwriters led by Canaccord, it's not one person or one company, who bought the shares.
they might just sell those shares in the market, they are not likely to hold it.
$7.15 Canadian bucks. that is lower than $7.5 c bucks----the closing price today. also. Goldcorp is a strategic shareholder, they are selling, it can not be bullish.
in a short-term basis.
yesterday, it was so crowded here in the Yahoo MB----this is one of the indicators I look at, and also other TA gauges show that, too.
it will take some time(1 or 2 days, or even a few days) to digest at or around this level($170).
two years ago, it was a piece of diamond among a pile of rocks. now it is a growth story.