Your time to get burned will come
I have over 700 percent gains holding and doing nothing
Day traders long and shorts may make some money but nothing beats holding this for long term
If you don't know why analysts are upping the targets by over 100 with most analysts new near 200 then you know nothing about this company.
Let me warn you that shorting this stock is like kissing 10000volts electricity high voltage power line
It will kill you and many shorts before you learned the hardway
As a long time holder of VIPS with over 700 percent gains so far
take my warning seriously. Before next earnings this stock is headed over 200 followed by another round of analysts upping targets and gap up open to 300
This company is severely undervalued to its long term growth.
Consider yourself warned
Offering hangover over
Company has plenty of cash
Gift to bears due to notes offering is over
Only positive catalysts ahead with company growing and analysts targeting 200
New highs is a matter of little patience
Good luck to all longs
I have no doubt on the fundamentals and growth of the companand secondaryy
Todays convertible pricing and interest rate of 1.5 percent and secondary ads pricing should be an indication of strength of this company
How many companies price notes at this low interest
LOL - if you read my mails correctly - I have been right on this stock for over a year from 10s, 20s, 30s to 180s .. I never predict short term .. If you were to buy LEAPS a year out, that's a different outcome. Imagine if you had bought CALLS a year ago ..!!
If you were only a day trader making nickels, don't read my messages at all .. Nobody, even Warren Buffett can predict what happens tomorrow or a week on any stock!!
Yes, with GS you have to read where they are actually coming from ... Glad they upped the price from 84 to 185 .. That's good enough .. When VIPS is over 300, they will up the price to $325 and downgrade .. who cares as long as the PT is upped!!
LOL - Goldman is the underwriter of notes and they downgrade the stock .. They just want to keep the share price in check until the offering is completed? Nice telltale move by Goldman Sachs!!
Yes, I take that a +ve too. Plus no dilution from notes until 2019!
Goldman had a target of $8 in 2012 at the time of VIPS IPO. As VIPS keeps on delivering results, they have no problem keep on raising targets as they did from $8 all the way to $185 .. Where will they be next year when VIPS has over $3B revenues?
I agree - this is clean way of doing it.
Also company thinks M&A is possible and they can pay off the notes from it or by a secondary when VIPS is at a higher price. Not doing a straight secondary is good news.
Besides Goldman Sachs raised price target to $185 from 84 which is very bullish. See Goldman raising targets from $8 in 2012 all the way now to $185 ... As company keeps delivering, they can keep raising targets ... Time is our friend with VIPS
does anybody know how I can get hold of these convertibles?
these are pretty much risk free plus giving an upside to equity appreciation .. I would love to get them ... only if I can get my hands on them .. does anybody know how to?
New brokers - at least BofA ML shall pick up coverage of VIPS following the convertible offering -
"Goldman Sachs (Asia) L.L.C. and Deutsche Bank Securities are acting as joint book-running managers for the offerings and BofA Merrill Lynch and China Renaissance Securities (Hong Kong) Limited are acting as co-managers."
I wish to buy this convertible .. normally I don't buy convertibles .. can any of you who have traded convertibles let me know how I can participate in the convertible offering .. Thx ..
Until 2019 there is not dilution .. this is good news.
Secondary is from a selling shareholder (may be early VCs or founders), again no new shares / dilution.
This got to be good news ..
Cyber - do you know how I can buy the convertibles?
Cyber - great points. I was trading LJPC (good profits there - made over 6K in an hour there) in the AH .. when I heard of shelf. As I said at the time of Lefeng acquisition, it is better for the company to raise cash. So, this was completely not unexpected by me. Growth companies including, GOOG FB AAPL had raised cash selling secondary or issuing debt. In fact, VIPS itself did raise secondary last year around this time.
This too will pass and end up being a good thing in the long run. Unless you're a trader in this like my LJPC today (one hour trade), there is nothing to worry .. I am an investor in VIPS based on its fundamentals. Most of the analysts that are covering VIPS have targets near $200 or higher. And most all expect growth to continue at over 80% CAGR next 3 years with VIPS expected to do over 6.5B revenues and $8 EPS in 2016
Based on 2016 expectations and the growth, this stock is very cheap IMO!
check vips ir site SEC filings ..
the filing does not have details on number of shares to be offered etc.
personally, this is something that I expected them to do. I wish they had done GMCR/KO type of a deal .. but in the larger context, if VIPS raises one or two billions, it is a good thing for the long term holders.
this will also increase its book value and ability to pursue any acquisitions like the recent ones, that will add to their operating margins.
last year in March, VIPS did a secondary at $24 .. during that period, the stock price wavered around 24 until the secondary was completed. and then went on to make new highs immediately.
This time I am expecting same thing. They may do secondary between 150 and 170 depending on the day of secondary and soon after that I expect VIPS to make new highs towards 200!
Look like the market already know of this offering - could be the reason why this one did not hit $200 last week!
Hope some of you got into VNET on Friday ..
That was to shake out weak hands despite strong report from VNET
Today VNET is up despite overall China stocks being down from BIDU to YY
they can burn shorties alive before that happens.
there were many UShitties who got burned badly already from 10s, 20s, 40s, 70s, 120s, 150s