Stock Name: China Fish
Company Name: CHINA FISHERY GROUP LIMITED
DMG & Partners Securities in a June 2 research report says: "Since mid May 2011, China Fishery's (CFG) share price fell some 13% to $1.55. We contacted management, and understand that operations are still sound and up to expectations.
"Barring unforeseen circumstances, we continue to remain optimistic on 2HFY11 earnings due to (1) delayed fish roe sales pushed to the coming quarter, (2) fishing season in Peru which began in April, and (3) South Pacific/Mauritania performance expected to be in-line or better than 1HFY11's.
"Currently trading at 10.5x FY11 P/E, valuations appear attractive. Given that the company's fundamentals remain sound, we think the recent sell down is unwarranted. Target price unchanged at $1.77 based on 12x FY11 P/E. This implies a 14% upside from current price. UPGRADE TO BUY."
Company Name: CHINA FISHERY GROUP LIMITED
| Research House: DMG | Price Call: BUY | Target Price: 1.77 |
DMG & Partners Securities in a June 2 research report says: "Since mid May 2011, China Fishery's (CFG) share price fell some 13% to $1.55. We contacted management, and understand that operations are still sound and up to expectations.
"Barring unforeseen circumstances, we continue to remain optimistic on 2HFY11 earnings due to (1) delayed fish roe sales pushed to the coming quarter, (2) fishing season in Peru which began in April, and (3) South Pacific/Mauritania performance expected to be in-line or better than 1HFY11's.
"Currently trading at 10.5x FY11 P/E, valuations appear attractive. Given that the company's fundamentals remain sound, we think the recent sell down is unwarranted. Target price unchanged at $1.77 based on 12x FY11 P/E. This implies a 14% upside from current price. UPGRADE TO BUY."
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