Not sure of the timeframe .. but it is something that is most likely to cross 30 sooner than most expect. Look at CTRP which I picked under $15 and never expected it to be at 35 this soon!
Once the market warms up to improved margins / fundamentals, the stocks will rocket UP! And DANG is no exception to that.
Tell tale came when Morgan Stanley upgraded DANG couple of weeks back!
Thats what I will be doing .. When it touches 10 or 20 in due time, I will take 50% off and the rest will ride free to infinity and beyond with a ZERO cost basis!
As long as it does not backfire like Auto CAD!
I have a feeling that ADBE strategy will back fire the same way as Auto CAD
This stock went from 40s to 45s (AH) and the earnings / guidance fully factored in there already at 45.
Tomorrow this may see 46s and then follows a dump back to low 40s - followed by market perform (in line with market) until next Q!
Chris - good to know you're in DANG too.
Yes, DANG got me over 120% gains so far in the last few weeks and has been one of the better performers (other than some OPTIONS on FB that I am playing ahead of meeting in couple of days which are up over 200% in 2 days).
Take a look at VNET - it is running and I expect it to continue. VNET could be like RAX when rackspace was under 10. VNET is another potential stock like VIPS that could become a 10 bagger in couple of years from now.
For those who missed a breakout of DANG at $5 .. check out VNET that broke out today on high volume.
Glad DANG shares I picked under $4 have gained over 100%! Still long DANG and holding for new ALL TIME highs!!
10 bagger in a few years .. That's the reason I got into this stock. I was under water when it traded at 9s and now above the water. I continue to hold as I see that this stock has potential to be a 10 bagger.
Yep - made over 100% in my recent positions on DANG at 3.8 and still holding .. What a turn ..
The China eCommerce/internet stocks are on turnaround.
Expecting more upticks in CCIH, DATE. VNET. VNET already went up 20% recently and expecting others to catch up soon.
10x is what the Motley Fool article was referring to ..
Beauty of VIPS is that as gross margins increase to estimated long term 28% (from 23 levels now), and marketing, fulfillment and other expenses as a percent drop, Op margins could double or triple ...
That coupled with growth of revenues could support a stock price that is 10x current valuations in a few years!
With VIPS, the time is on my side IMO
Nice way of putting things up. Let us see what happens next week.
VIPS has a long way to catch up to LITB's valuations.
Unbelievable ... Its valuation in comparison to VIPS is unbelievable ...
If I could short LITB as a hedge against VIPS, I will do that ..
But I can find no way to short LITB now!
you should have done that a long time back when dang was under 4 ..
I sold a bunch of naked puts too ..
congrats on your litb position at 11! that was a great call.
litb is trading at 3x revenues and vips is at 1.5x revenues ...
i can't believe the disparity in valuation though vips is more established, higher revenues (4x higher), longer track record and better growth rates ...
given LITB is over 16, vips should be over 50 easily on same PEG ratios or revenue multiples
This from motley fool article -
"Another Chinese internet stock, Vipshop Holdings (NYSE: VIPS) trades at substantial discounts to growth rates. Vipshop calls itself the leading online retailer for Chinese brands, and expects revenue to grow 120% this year, yet the stock trades at only roughly 1 times revenue. Analysts see revenue leaping another 46% to $2.3 billion in 2014. The market cap sits at only $1.9 billion.
Even with Vipshop surging some 500% since the IPO last year, the valuation remains compelling at those levels. While investors are unlikely to give the stock a 10 times revenue multiple that a domestic stock would obtain with that growth, it doesn’t appear unreasonable for it to eventually trade at between 2 and 3 times revenue."
Reads my mind ... 10 times revenue for a domestic stock with that growth ... if not for the fact VIPS is a china stock .. this could have garnered 10 times revenue or 10x the stock price .. LOL
These are exact reasons why I think VIPS will be a multi bagger from here in a few years. Time will tell .. My shares are firmly locked