Low Float....Had some news out after the market close Friday.
Checking into it.Will post more when I have time.
Setravis,
Are you still following this one, +35% today.
Still following,tommyt.I made a buy on this when I posted it.
NEEDS TO "PUMP UP THE VOLUME"!
The float I like(826k), the volume scares the hell out of me. I would seriously consider buying in the mid $2 range.
When i got in it had a nice day with volume and price action.
After that it made my hair stand up and my toes curl! ;D
It would be great to start a thread of low float picks before they move. Where is the best source for this?
Thanks.
Starting to see some action again.
+49.13%.........Volume @..........118,017
Need some more volume to come in.
HUGE move on some news today !!!! :o
StockMarketNewsAlert.com Issues Trade Alert -- OraLabs Holding Corp.
Friday April 7, 10:05 am ET
DEERFIELD BEACH, Fla., April 7, 2006 (PRIMEZONE) -- OraLabs Holding Corp. (NasdaqSC:OLAB - News) is new to StockMarketNewsAlert.com. According to M. D'Alonzo at First Equity Group, Inc., recent news flow from the company has been very positive. ``The company announced had entered into a definitive Stock Exchange Agreement dated March 31, 2006, in which all of the issued and outstanding shares of Partner Success Holdings Limited will be acquired by OraLabs in exchange for 94% of the issued and outstanding shares of OraLabs common stock on a fully diluted basis calculated after giving effect to a redemption by OraLabs of 3,629,350 shares of OraLabs common stock owned by its President, Gary H. Schlatter, the issuance of 300,000 shares to the non-employee directors of OraLabs and the exercise of any options prior to the Closing.''
Why this stock will move higher...
80 % of the shares are held by insider or 5% owners, 0.10% Held by Institutions.
Setting up for a Huge Week!Formula for a nice Monday morning=
Huge volume with a 208% increase on Friday...... :o
Closing strong, with strong after hours.... ;)
Tiniest little float one could ever hope for..... ;D
Every pullback will be bought.
Float (mil) 1.00
Shares Outstanding: 4.69M
Volume: 6,582,568
Avg Vol (3m): 137,124
Technicals
Record Volume
Record Price High
Record Price Break Out
Gap Up
Percentage Gainer
Price Gainer
Last Price Quote is:
133.78%above 13-day EMA
185.01%above 50-day EMA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $8.68
P/E Ratio: NA
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
I've been posting signs like this in Several threads.
If you happen to see a stock that have signs & same set-up like this one before rocketing, please PM me right away... I'll definitely buy tons of share. ;) :D ;D :D
It's very simple... The signs are (SMA50, SMA200 & EMA200) Daily & Weekly... Thanks..
OLAB
yawww.............. ;D another 40% :D
Quote from: setravis on April 08, 2006, 01:40:59 PM
Why this stock will move higher...
80 % of the shares are held by insider or 5% owners, 0.10% Held by Institutions.
Setting up for a Huge Week!Formula for a nice Monday morning=
Huge volume with a 208% increase on Friday...... :o
Closing strong, with strong after hours.... ;)
Tiniest little float one could ever hope for..... ;D
Every pullback will be bought.
Float (mil) 1.00
Shares Outstanding: 4.69M
Good deal... similar to Friday and the after hours also.
No Debt,5 Mill Cash
Technicals
Record Volume
Record Price High
Most Actives
Percentage Gainer
Last Price Quote is:
221.19%above 13-day EMA
291.58%above 50-day EMA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $26.98
P/E Ratio: NA
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Press Release Source: First Equity Group; OraLabs Holding Corp.
StockMarketNewsAlert.com Issues Momentum Trade Alert -- OraLabs Holding Corp.
Monday April 10, 10:22 am ET
DEERFIELD BEACH, Fla., April 10, 2006 (PRIMEZONE) -- OraLabs Holding Corp. (NasdaqSC:OLAB - News) is new to StockMarketNewsAlert.com. According to M. D'Alonzo at First Equity Group, Inc., recent news flow from the company has been very positive. ``The company announced had entered into a definitive Stock Exchange Agreement dated March 31, 2006, in which all of the issued and outstanding shares of Partner Success Holdings Limited will be acquired by OraLabs in exchange for 94% of the issued and outstanding shares of OraLabs common stock on a fully diluted basis calculated after giving effect to a redemption by OraLabs of 3,629,350 shares of OraLabs common stock owned by its President, Gary H. Schlatter, the issuance of 300,000 shares to the non-employee directors of OraLabs and the exercise of any options prior to the Closing.''
About OraLabs Inc.
OraLabs Inc. manufactures Ice Drops(r) brands oral care products; Sour Zone(tm) brands sour products; and Lip Rageous(r), Lip Naturals(r), Chap Ice(r), Extra Lip Moisturizer, Leashables(r), Chapgrip(r), Soothe & Shine(r) brands of lip balm. The product line includes breath drops and sprays, sour drops and sprays, lip balms and a variety of private label products. The Company distributes 5HTP as its only dietary supplement; additionally the Company distributes Sanell(tm) hand sanitizer and Eyelieve(tm) sterile eye products. The Company's products are currently sold in the USA nationally as well as numerous foreign countries. The products are sold through wholesale distributors as well as by direct sale to mass retailers, grocery stores, convenience stores and drug stores.
This news release may include comments that do not refer strictly to historical results or actions and may be deemed to be ``forward-looking'' within the meaning of the Safe Harbor provisions of the U.S. Federal Securities Laws. These include, among others things, statements about expectations of future revenues, cash flows and capital requirements. Forward-looking statements are subject to risks and uncertainties that may cause the company's results to differ materially from expectations. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will provide to be correct. These risks include the company's ability to further develop its business, the company's ability to develop appropriate strategic alliances and successful development and implementation of technology, acceptance of the company's products and services, competitive factors, new products and technological changes, and other such risks as the company may identify and discuss from time to time, including those risks disclosed in the company's amended registration statement on Form SB-2 filed with the Securities and Exchange Commission. Factors that could cause results to differ include, but are not limited to successful performances of internal plans, the impact of competitors, and general economic risks and uncertainties.
For the full profile, the reader's attention should be drawn to our initiating report, which is available on http://www.StockMarketNewsAlert.com. More information is available on http://www.stockmarketnewsalert.com.
About StockMarketNewsAlert.com
StockMarketNewsAlert.com was developed solely for experienced, risk-tolerant investors. Subscribers to StockMarketNewsAlert.com receive daily market commentary reports for select companies trading on various markets. Sophisticated investors are also able to receive for free, select, rare research reports and investor kits on up and coming emerging companies while they are still not widely known.
StockMarketNewsAlert.com's (SMNA) primary focus is promoting awareness among brokers, investors, and others in the investment community who are interested in small- and micro-cap companies. StockMarketNewsAlert.com is dedicated to helping publicly traded companies gain the exposure they need to move forward with the development of their business plans. SMNA's goal is to feature equity investments in micro- or small-capitalization companies that have the potential for long-term appreciation. SMNA provides investors with a complete suite of online interactive financial data and tools that includes quotes, charts, company profiles, news, market commentary and SEC filings, just to name a few. Stockmarketnewsalert.com offers a free financial newsletter. To subscribe or get more information, visit our home page located at http://www.stockmarketnewsalert.com.
Let Stock Market News Alert help advertise for your company using our effective awareness campaigns. If you're interested in telling your story, we can help. Contact us at
[email protected]. SMNA's e-mail alert service is free to those investors who sign up on the SMNA home page. The alert service is designed to notify investors of undervalued and often overlooked stocks. Subscribers are introduced to Special Situation companies that have the potential of showing increased activity. To subscribe to this free service, visit the Stock Market News Alert home page at http://www.stockmarketnewsalert.com and select the ``sign up'' button.
Information contained herein is the opinion of stockmarketnewsalert.com and is intended to be used strictly for informational purposes. You should be aware that SMNA attempts to assure itself of the accuracy of the information contained in the analyses it publishes. In this regard, SMNA does, at times, rely on the accuracy of information supplied to it by the companies which are the subject of SMNA's analyses and/or parties related to those companies. SMNA also relies on the accuracy and integrity of information that is contained in company press releases and reports filed with the SEC. The companies mentioned in this publication have not approved the content or timing of the information being published unless otherwise noted.
SMNA, because it relies on information supplied by various third parties, disclaims any responsibility for the accuracy of such information. Any investor considering making an investment in any security which has been the subject of a SMNA analysis or opinion should, before making any such investment, consult with his/her market professional and/or do his/her own independent research regarding the company which is the subject of an SMNA opinion, recommendation or analysis.
Information regarding companies which SMNA has an opinion upon is normally available from many sources including the subject company's filings with the SEC and various press releases issued by the company.
All material herein is information supplied by the company or other sources believed to be reliable. The information contained herein is not guaranteed by First Equity Group, Inc. to be accurate, and should not be considered to be all-inclusive. The companies that are discussed in this profile have approved the statements made in this profile. This profile contains forward-looking statements that involve risks and uncertainties. Statements in this press release about the company's future expectations other than historical facts, are ``forward-looking statements'' within the meaning of section 27A of the Securities Act of 1933, section 21E of the Securities Act of 1934, as that term is defined in the Private Securities Litigation Reform Act of 1995. It is important to note that actual results and ultimate corporate actions could differ materially from those in such forward-looking statements. Such ``forward-looking statements'' are subject to risks and uncertainties set forth from time to time in the company's SEC reports that could cause results to differ materially from those expressed or implied include, but are not limited to, the results of future tests and the availability of funding for additional research and development. This material is for informational purposes only and should not be construed as an offer or solicitation of an offer to buy or sell securities. First Equity Group is not a licensed broker, broker dealer, market maker, investment advisor, analyst or underwriter. Please consult a broker before purchasing or selling any securities viewed on http://www.stockmarketnewsalert.com. First Equity Group may have purchased shares in a private placement or on the open market. First Equity Group's affiliates, officers, directors, and employees may also have bought or may buy the shares discussed in this profile and may profit in the event those shares rise in value. First Equity Group does not and will not offer any opinion as to when others should sell; each investor must make that decision based on his or her judgment of the market.
Contact:
StockMarketNewsAlert.com
D. Baker
(954) 943-2273
[email protected]--------------------------------------------------------------------------------
Source: First Equity Group; OraLabs Holding Corp.
FYI from briefing.com
OraLabs Holding -- color on move higher (OLAB) 5.19 +3.20: OraLabs is by far the leading gainer today. The co issued a press release this morning that was somewhat confusing. However, after we reviewed the 8-K filing with the full agreement, we were able to get more color. OLAB has entered into an agreement with Partner Success Holdings. It's a bit confusing, but it appears that the co it is merging with Partner Success Holdings which will has a subsidiary Shanghai Chengtong Precision Strip Steel Co. OraLabs, which currently is an oral care company, will seek to change its name to Ameriasia Steel. Bottom line, it looks like OLAB is becoming a Chinese steel company. With the steel sector so strong lately, it's attracting alot of attention. Also, there are very few Asian-based steel stocks trading in the US. Also, the stock has a tiny float of 950K shares which is also adding to the move.
looking good for tomorrow on the 60min chart
Moving back up after the pullback, with a bullish engulfing.
Volume: 1,729,590
Avg Vol (3m): 363,422
Technicals
Percentage Gainer
Last Price Quote is:
61.64%above 13-day EMA
162.19%above 50-day EMA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $29.14
Came to re-test the 50-day MA.
OraLabs Holding spikes following NT 10-Q filing; reports Q1 sales up 26% YoY (OLAB) 4.95 +0.52 : Co reports Q1 net income of $333,895, compared to a net loss of $15,652 in 1Q05 (a difference of $349,547). Revs rose 26% YoY to $4.5 mln. The increase in net income was principally the result of the higher sales as well as improvements in gross margin. As a result of unexpected delays in gathering the data necessary to finalize the financial statements and accompanying notes of the Registrant's Form 10-QSB, the report on Form 10-QSB could not be timely filed without unreasonable effort or expense. The Registrant believes that the Form 10-QSB will be filed within the extension period.
Technicals
Percentage Gainer
Last Price Quote is:
-3.69%below 13-day EMA
16.41%above 50-day EMA
RS Rating: 99
Fundamentals
Earnings Expected on May 22
Key Data:
Market Cap (M): $21.07
P/E Ratio: NA
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
More...
Up nicely in the after hours.......
ORALABS HLDGS CP (NasdaqSC:OLAB) Delayed quote data
After Hours (RT-ECN): $5.54 Up 0.46 (+9.06%)....... ;D
Last Trade: 5.08
Trade Time: 4:00PM ET
Change: 0.65 (14.67%)
Prev Close: 4.43
Open: 4.40
Bid: 5.35 x 5000
Ask: 5.54 x 5900
1y Target Est: N/A
Day's Range: 4.01 - 5.34
52wk Range: 1.32 - 8.97
Volume: 731,754
Avg Vol (3m): 484,084
Market Cap: 23.84M
P/E (ttm): 254.00
EPS (ttm): 0.02
Div & Yield: N/A (N/A)
OLAB is a positive little Company !
Markets are saturated. Buy the dogs,
No stops, just don't put all your dogs in one basket or your eggs on one dog.
I don't have all day to gawk at the computer.
If there were ever a time to give it a try, it is now !
Technicals
Close above the 50-day MA
Percentage Gainer
Last Price Quote is:
-5.86%below 13-day EMA
5.33%above 50-day EMA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $21.26
P/E Ratio: 241.21
PARKER, Colo., May 23, 2006 (BUSINESS WIRE) -- OraLabs Holding Corp. (OLAB, Trade) today announced that first quarter revenues were $4,518,709 with a net income of $.07 per share, or $333,895. The same period in 2005 reported revenues of $3,580,849 with a net loss of $.00 per share (less than .01 per share), or $15,652.
Revenues increased $937,860 and the net income increased $349,547. The increases in revenue and net income can be significantly attributed to expansion of the Company's customer base.
A more detailed explanation of these results can be found in the March 31, 2006, Form 10-QSB, Part II, Results of Operations.
OraLabs, Inc. manufactures Ice Drops(R) brands oral care products; Sour Zone(TM) brands sour products; and Lip Rageous(R), Lip Naturals(R), Chap Ice(R), Extra Lip Moisturizer, Leashables(R), Chapgrip(R), Soothe & Shine(R) brands of lip balm. The product line includes breath drops and sprays, sour drops and sprays, lip balms and a variety of private label products. The Company distributes Sanell(TM) hand sanitizer and Eyelieve(TM) sterile eye products. The Company's products are currently sold in the USA nationally as well as numerous foreign countries. The products are sold through wholesale distributors as well as by direct sale to mass retailers, grocery stores, convenience stores and drug stores.
Forward-Looking and Cautionary Statements
Except for historical information and discussions contained herein, statements included in this release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Reference is made in particular to statements regarding anticipated sales growth, expectations regarding financial results for the quarter and expectations regarding future outcomes. These statements are based on the Company's current beliefs and expectations as to such future outcomes. These statements involve a number of risks, uncertainties, and other factors that could cause results to differ materially, as discussed in the Company's filings with the Securities and Exchange Commission. The Company can offer no assurance that the definitive agreement discussed in this press release will close on the terms described above, if at all.
A nice move is coming.....
JMHO of course.
Squeeze!
Technicals
Close Above the 13-day EMA
Percentage Gainer
Last Price Quote is:
7.07%above 13-day EMA
-2.62%below 50-day EMA
RS Rating: 98
Fundamentals
Key Data:
Market Cap (M): $16.71
P/E Ratio: 38.20
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Quote from: setravis on July 12, 2006, 08:47:28 PM
A nice move is coming.....
JMHO of course.
Squeeze!
Press Release Source: OraLabs Holding Corp.
OraLabs Announces Second Quarter Results
Friday August 18, 7:01 pm ET
ENGLEWOOD, Colo.--(BUSINESS WIRE)--Aug. 18, 2006--OraLabs Holding Corp. (NASDAQ: OLAB - News) today announced that second quarter revenues were $4,400,146 with a net profit of $.10 per share, or $453,992. The same period in 2005 reported revenues of $2,543,188 with net loss of $.01 per share, or $2,926
Revenues increased $1,856,958 or 73%. This increase in revenue was primarily a result of an increase in sales due to increased customer demand and higher sales at the retail level during the second quarter of 2006. The Company received increased orders on its breath freshening products as well as new customers for its new and core products in the second quarter of 2006.
Net profit increased $456,918. Increases in cost of sales, selling and marketing, and administrative expenses were significantly attributable to the increased sales and the net effect was a net profit of $456,918.
A more detailed explanation of these results can be found in the June 30, 2006 Form 10-QSB, Part II, Results of Operations.
OraLabs, Inc. manufactures Ice Drops® brands oral care products; Sour Zone(TM) brands sour products; and Lip Rageous®, Lip Naturals®, Chap Ice®, Extra Lip Moisturizer, Leashables®, Chapgrip®, Soothe & Shine® brands of lip balm. The product line includes breath drops and sprays, sour drops and sprays, lip balms and a variety of private label products. The Company distributes Sanell(TM) hand sanitizer and Eyelieve(TM) sterile eye products. The Company's products are currently sold in the USA nationally as well as numerous foreign countries. The products are sold through wholesale distributors as well as by direct sale to mass retailers, grocery stores, convenience stores and drug stores.
Forward-Looking and Cautionary Statements
Except for historical information and discussions contained herein, statements included in this release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Reference is made in particular to statements regarding anticipated sales growth, expectations regarding financial results for the quarter and expectations regarding future outcomes. These statements are based on the Company's current beliefs and expectations as to such future outcomes. These statements involve a number of risks, uncertainties, and other factors that could cause results to differ materially, as discussed in the Company's filings with the Securities and Exchange Commission.
Contact:
OraLabs Holding Corp.
Gary Schlatter, 303-783-9499
[email protected]--------------------------------------------------------------------------------
Source: OraLabs Holding Corp.
Quote from: setravis on April 08, 2006, 01:40:59 PM
Why this stock will move higher...
80 % of the shares are held by insider or 5% owners, 0.10% Held by Institutions.
Setting up for a Huge Week!Formula for a nice Monday morning=
Huge volume with a 208% increase on Friday...... :o
Closing strong, with strong after hours.... ;)
Tiniest little float one could ever hope for..... ;D
Every pullback will be bought.
Float (mil) 1.00
Shares Outstanding: 4.69M
AP
OraLabs Shares Rise on Strong 2Q
Monday August 21, 2:54 pm ET
OraLabs Shares Rise After Company Posts 73 Percent Increase in Sales
NEW YORK (AP) -- Shares of OraLabs Holding Corp., a Parker, Colo.-based maker of oral and lip care products, skyrocketed in afternoon trading Monday after the company swung to a second-quarter profit on higher sales.
Late Friday, the company posted net income of $454,000, or 10 cents per share, versus a loss of $2,926 in the year-ago quarter. Sales rose 73 percent to $4.4 million from $2.5 million.
The company said it experienced higher customer demand and more orders for breath-freshening products during the quarter.
OraLabs shares rose $2.68, or 81 percent, to $6 in afternoon trading on the Nasdaq. The shares have traded in a range of $3.86 and $6.14 in the past year. Volume was an unusally heavy 3.6 million shares, compared to average daily trading volume of about 68,000 shares.
Buyers Galore for OraLabs........
ORALABS HLDGS CP (NasdaqCM:OLAB) Delayed quote data
Last Trade: 6.77
Trade Time: 3:21PM ET
Change: 3.45 (103.92%)
Prev Close: 3.32
Open: 3.97
Bid: 6.75 x 500
Ask: 6.81 x 100
1y Target Est: N/A
Day's Range: 3.86 - 6.85
52wk Range: 1.50 - 8.97
Volume: 4,078,804
Avg Vol (3m): 67,958.5
Market Cap: 31.77M
P/E (ttm): 72.02
EPS (ttm): 0.09
Div & Yield: N/A (N/A)
wow!! nice one Set ;)
8)
ORALABS HLDGS CP (NasdaqCM:OLAB) Delayed quote data
Last Trade: 7.05
Trade Time: 12:42PM ET
Change: 0.42 (6.33%)
Prev Close: 6.63
Open: 6.81
Bid: 7.01 x 100
Ask: 7.05 x 500
1y Target Est: N/A
Day's Range: 6.64 - 7.85
52wk Range: 1.50 - 8.97
Volume: 4,559,184
Avg Vol (3m): 137,192
Market Cap: 33.09M
P/E (ttm): 75.00
EPS (ttm): 0.09
Div & Yield: N/A (N/A)
No time for comments , end of the day chart
Hi,
I believe we can sell OLAB....Support is breakout
Target at 4.10...A 36% potential profit... ;)
Earnings were good, yes there is a reevaluation of the share price, but please don't run when the stampede is on.
At the climax run into the opposite direction.
Technicals
Percentage Gainer
Last Price Quote is:
14.98%above 13-day EMA
46.11%above 50-day EMA
RS Rating: 98
Fundamentals
Key Data:
Market Cap (M): $29.00
P/E Ratio: 66.31
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Quote from: setravis on May 23, 2006, 04:36:38 PM
OLAB is a positive little Company !
Markets are saturated. Buy the dogs,
No stops, just don't put all your dogs in one basket or your eggs on one dog.
I don't have all day to gawk at the computer.
If there were ever a time to give it a try, it is now !
Another occasion to get richer in experience.
Use indicators and moving averages. MACD cresting reference line; DMI buy signal making its first appearance, flag pattern running into 13 day ema, price action clinging to upper Bollenger band, high volume (bottoming) reversal where you would expect support based on historical prices. These are all things to watch for when making your own picks.
Bullishing Engulfing......
Recent CandleStick Analysis
Very Bullish
Sept-22-2006 Bullish Engulfing
Sept-20-2006 Bullish Engulfing
Today's Candlestick Patterns:
White Candlestick
Bullish Engulfing
The last two candlesticks formed a Bullish Engulfing Pattern . This is a bullish reversal pattern that marks a potential change in trend. However, its reliability is not very high and it requires confirmation......
Definition:
Bullish Engulfing Pattern is a pattern characterized by a large white real body engulfing a preceding small black real body, which appears during a downtrend. The white body does not necessarily engulf the shadows of the black body but totally engulfs the body itself. The Bullish Engulfing Pattern is an important bottom reversal signal.
Important Factors:
The relative size of the bodies in the first and second days is important. If the first day of the Bullish Engulfing Pattern is characterized by a very small real body (it may even be a doji or nearly a doji) but the second day is characterized by a very long real body, this strongly indicates that the bearish power is diminishing and the disparity of white versus black body is indicative of the emerging bull power.
There is higher probability of a bullish reversal if there is heavy volume on the second real body or if the second day of the Bullish Engulfing Pattern engulfs more than one real body (which essentially means we see two or more small black bodies preceding the long white body).
The reversal of downtrend needs further confirmation on the third day. This confirmation may be in the form of a white candlestick, a large gap up or a higher close on the third day.
Support @ $5.78...3.84...3.56
Resistance @ $7.11...7.90
Technicals
MACD is Bullish
Last Price Quote is:
5.64%above 13-day EMA
25.08%above 50-day EMA
RS Rating: 98
Fundamentals
Key Data:
Market Cap (M): $30.17
P/E Ratio: 33.42
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Took a bounce north off the 50-day MA..... ;)
Stochastic turned north coming out of oversold area,
MACD holding above center line.
Recent CandleStick Analysis
Very Bullish
Oct-06-2006 Bullish Engulfing
Engulfing Pattern A reversal pattern that can be bearish or bullish depending upon whether it is in an uptrend or downtrend. The first day is characterized by a small body, followed by a day whose body completely engulfs the previous day's body.
Candlestick Analysis
Today's Candlestick Patterns:
Long White Candlestick
Today a Long White Candlestick was formed. This shows that the prices advanced significantly from open to close during the day under strong buying pressure.
Important Factors:
The Long White Candlestick is a single candlestick pattern and it is not reliable as such. It reflects only one day's trading. It may show continuation of a trend as well as a possible reversal. Adjacent candlesticks must be taken into consideration for a healthier decision regarding the status of the trend.
52wk Range: 1.50 - 8.97
Support @ $5.66...4.88...4.35
Resistance @ $6.15...6.30...6.50...7.10
Volume: 353,736
Avg Vol (3m): 281,918
Technicals
Stochastic is Bullish
Percentage Gainer
Last Price Quote is:
7.84%above 13-day EMA
17.56%above 50-day EMA
RS Rating: 98
Fundamentals
Key Data:
Market Cap (M): $30.17
P/E Ratio: 33.42
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Friday's closing chart....
52wk Range: 1.50 - 8.97
Volume: 383,886
Avg Vol (3m): 294,106
Technicals
Percentage Gainer
Last Price Quote is:
22.92%above 13-day MA
38.75%above 50-day MA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $30.17
P/E Ratio: 33.42
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
OLAB on the move today.....
+35.19%......Volume @ 464,178
CPSL had a huge day after news. :o
http://biz.yahoo.com/prnews/061228/cnth005.html?.v=8
Anyone know anything about this deal. ???
OLAB is now CPSL
REVERSE MERGER....A cheaper route than doing an IPO.
A little info on a reverse merger:
Reverse Mergers: An Alternative for Going Public
In its simplest form, a reverse merger refers to the process whereby a private company merges into and with an existing public company to establish itself as a public company. Typically, the public company, with which the private company merges while it may have shareholders and some assets is no longer a functioning business; hence it is often called a "public shell."
Still, it is typically a full reporting company to the Securities and Exchange Commission (SEC) and a public company for financing and trading purposes. A public company shell can take many forms a company that trades over the counter to companies listed on NASDAQ, AMEX, or even the NYSE.
In years past, reverse mergers were associated with penny-stocks, which were viewed as subject to manipulation. The marketplace frowned upon them because of their high potential for risk and abuse. ( For an Entrepreneur's Story about reverse mergers, read this article by Terry Bruggeman.)
The image of reverse mergers as a legitimate vehicle to go public has improved measurably in the recent years for several key reasons:
* IPOs have become tougher, riskier, and more expensive.
* New laws and regulations specifically dealing with penny stocks and reverse mergers have increased marketplace comfort with these transactions.
* PIPEs (or private investments in public entities) have become an increasingly popular vehicle for equity investments.
First and foremost, there are several reasons entrepreneurs desire to reap the benefits of a public company: access to public markets, increased liquidity for shareholders, and increased transparency and attractiveness as a company with which other companies want to do business. Reverse mergers are especially effective for companies seeking access to the PIPE market, comprised of investors who buy shares in earlier-stage companies only through public vehicles.
Entrepreneurs who take their companies public via a reverse merger can also expect to encounter fewer barriers. A well-structured, well-advised company should be able to close a reverse merger in about four to six months at a cost significantly less than a traditional IPO. Major costs include professional fees and the consideration paid for the public shell, which may include consulting fees, repayment of debt, and a percentage ownership of the public entity surviving the merger. The ownership interest can range from as little as 1 to 10 percent, depending on the relative bargaining strengths of the parties.
It's important to consider that following the reverse merger, the only shareholders typically able to trade in the open market will be the original shareholders of the public shell. If the private company acquires too much of the public entity or there are too few shareholders with freely tradable shares, there may be an inadequate public float and little, if any, trading activity. In addition to significantly lower costs and more predictable timeframes, the reverse merger is less subject to risk of derailment than an IPO due to changing political, economic, or market conditions.
Found China Precision Steel fundamentals on TheLion.com message board.
From: salukis1 score (93)
Reply To: None
Date: Thu December 28, 2006 06:32:37 PM
Message #: of 1723
China steel still seems undervalued even after the increase in outsanding shares. $11 million per year earnings, .41 eps, Puts the PE only at 12.2 for a CHINA company growing rapidly
120% income growth the last 2 years.
All this before they have supposedly quadrupled production at this point.
It still seems like a steal here.
I'm sure the new CEO will not be dumping his shres at these prices. Tradeable float will stay around 1.3 million for now.
ANY OPNIONS APPRECIATED
Got CPSL up on stockcharts now.
Big first day for this faux IPO.
I believe it could be a big gainer. From today's closing, the market cap is 13.3 million and according to theLionshare.com message board, China Precision Steel had 11 million in earnings last year and 120 income growth the last 2 years.
I'm not great with fundamentals, so I would appreciate if someone with better fundamental knowledge would dig a little and post their take on CPSL prospects.
Thanks in advance.
Chart of fib retracements for the first day of trading for this reverse merger with OLAB
http://biz.yahoo.com/prnews/061228/cnth005.html?.v=8
Yeah, this ones a monster following in the footsteps of efut and ffhl. Consider the fact that they should report around 11m net income for 2006 on 27m shares (0.41 eps) - so currently only at 26 EPS. Yet, they announced in filing that production goes up 4 fold as of August 2006. Imagine the numbers to be reported in the 2007 fiscal!
Now also, based on the trading Friday, I believe the float is still around 1 million. Consider the fact that ffhl float is 4x higher, but trading 50% higher. Sector much more attractive then ffhl as well.
I think $15 is a given, and the low float, momo, fundamentals, and squeeze along the way could certainly put it above $20.
JMHO
Another CHNR, but better looking!
Gapping up strong this morning. But I will wait ;)
On it's way to 20.
"CPSL" Threads have been Merged.
Please use the search before starting new threads on a Stock Pick.
Chances are a thread already exist.
So why not post whatever you have to comment about on that pick to that thread.
"Simplicity" My fellow traders. ;)
All history on a stock pick in 1 thread is awesome. ;)
Just trying to get threads together,so we don't have a numerous amount floating around on the same stock.
Thank You....and good luck with all your trades....make some $$$ ;D
CPSL ended up with a black candle. Now it should give me an opportunity to jump on board.
New fib retracements: 50% around $11.00 and 61.8% fib at $9.70. This may take another day before a bounce happens. ;)
Ready to run again, up a $1.30 pre-market ;D
Something is up with this stock, up big again PM with no news ???
Getting close to or die time with CPSL. We have a small triangle and today was the first day without ending up with a black candle :D
If we can get a close abovve $15...may be a nice white candle to follow. We'll see.
ksflika:
From Marketwatch:
Shares outstanding: 26.98M
Market Cap: $382.33M
Because of this reverse merger, it is a little difficult to figure out the financials on this one, but I think it is worth looking into in more detail.
Technically, because of the lack of data, its probably worth looking at an intraday chart. The 15 min chart paints a slightly mixed picture. Yesterday CPSL drifted down below the ascending trendline that has been supporting its recent consolidation. However, this breakdown was not really confirmed by price or volume action. At the end of the day yesterday, CPSL had a sharp little rally. It is a little hard to see on this chart, but it looks to me like the gap after the first says trading is providing the current price support. Key support right now comes in at 13.55-60. A break below this level would be decidedly bearish and would probably determine the next trend for this stock. Resistance looks to come in at 14.50. If it breaks this to the upside, it could begin a significant run. I think we could see resistance above this at 15.25 and the recent high around 16.60.
When you put the recent chart pattern into context with the Fibs, you can see clear and positive bounces off the 50% and 61.8% levels. This leads me to think that CPSL should act well technically. I think this one will decide which way it wants to go today, so I'll be watching closely, especially at the PM action. CPSL seems to trade heavily PM right now.
Hope al this helps, lets make some green ;)
Stock took a beating with the rest of the China plays last week. Had a nice run up yesterday, and I think it still has some room.
In today at 7.3993 ???
Out at 6.65 for an 11.1% loss. This is turning out to be a painful >:(
Business Summary
China Precision Steel Inc. sells high precision cold-rolled steel products in the People's Republic of China. It offers cold-rolled and hot-rolled precision steel products and plates for down stream applications in the automobile industry, kitchen tools, and functional parts of electrical appliances. The company's products are primarily used in the manufacture of automobile parts and components, food packaging materials, saw blades, textile needles, microelectronics, packing, and containers. China Precision Steel also engages in the provision of heat treatment and cutting of medium and high carbon hot-rolled steel strips and chrome series stainless steel. The company was founded in 2002 and is based in Hong Kong, Hong Kong.
Business Outlook
China Precision Steel has been increasing its production capacity for cold-rolled precision steel as demand in China outpaces domestic supply. The company began production of its second cold-rolled mill with 150,000 metric tons of capacity in October 2006 and has plans to add a third mill with 150,000 metric tons of capacity by the end of calendar year 2007. Each mill takes approximately two to three years to ramp up in order to ensure smooth operations and optimal quality results before achieving full production. Currently, the new mill is operating at 30% capacity and is expected to reach 50% capacity by the end of calendar year 2007. For fiscal year 2007, the company currently anticipates revenue to be approximately $50.5 million, gross profit to be about $15.6 million and net income to be about $10.9 million. For fiscal year 2008, the company anticipates revenue to be approximately $62.5 million, gross profit to be about $20.3 million and net income to be about $14.1 million.
''We are currently a dominant producer in China of cold-rolled precision steel with 50% of the domestic production market and 5% of the total market in China. We have developed a state-of-the-art, patent-protected process that enables us to produce high quality precision steel at competitive prices both domestically and internationally,'' commented Mr. Li. ''Moreover, the market demand in China for high quality precision steel has grown 20% annually for the past five years, and we expect it will continue expanding as our target industries, such as the automotive and appliance industries, benefit from China's robust economic growth.''
Recent News
China Precision Steel Announces Third Quarter Fiscal 2007 Results (http://biz.yahoo.com/prnews/070515/cntu027.html?.v=2)
[video] China Precision Steel CFO: No Demand Slowdown In Sight (http://us.rd.yahoo.com/finance/external/tsmfe/SIG=129dpmgdd/*http://www.thestreet.com/_yahoo/video/executiveinterviews/10352806.html?cm_ven=YAHOO&cm_cat=FREE&cm_ite=NA)
Making a nice run today up 11% already. I hope some of you bought this.
Just now got the time to check the thread out.
I was out of my trading office today.
Very nice find indeed.....I do Applaud your work ! ;) ;D Wake up call ;D :D
Yes, I agree a nice trend reversal.I will be watching for a pullback for a buy.
The 13-day Ma has crossed over the 50-day MA...Nice move !
Recent CandleStick Analysis
Bullish
Jul-09-2007 Bullish Engulfing
Support @ $3.72...2.63
Resistance @ $5.08...5.77...6.30
Float (mil) 5.70 Shares Outstanding (mil) 35.36
52wk Range: 2.58 - 16.58
Volume: 1,326,912
Avg Vol (3m): 519,740
Technicals
Last Price Quote is:
28.96%above 13-day MA
23.06%above 50-day MA
RS Rating: 7
MACD is Bullish... ;)
Stochastic is Bullish... ;)
Fundamentals
Key Data:
Market Cap (M): $144.98
P/E Ratio: 9.17
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
Business Overview.......
BRIEF: For the nine months ended 31 March 2007, China Precision Steel, Inc.'s revenues increased 42% to $37.1M. Net income from continuing operations decreased 17% to $6.6M. Revenue reflects higher sales volume and increased average selling price per ton. Net income was partially offset by higher cost of goods sold due to increased raw material consumed, an increase in selling expenses, higher administrative expenses and increased interest expense.
thanks setravis ;)
the float is only 5.7 million shares which is awsome. the volume has been over a million shares the past week of trading so its turned that float over a couple times in the past 2 weeks. i think it can go much higher. the volume is a tell.
Quote from: WallStreetnBio on July 10, 2007, 09:03:15 PM
thanks setravis ;)
the float is only 5.7 million shares which is awsome. the volume has been over a million shares the past week of trading so its turned that float over a couple times in the past 2 weeks. i think it can go much higher. the volume is a tell.
So true.......Volume don't lie ! ;D
Good trading to you on this one...make some $Green$ ;)
Quote from: WallStreetnBio on July 10, 2007, 09:03:15 PM
thanks setravis ;)
the float is only 5.7 million shares which is awsome. the volume has been over a million shares the past week of trading so its turned that float over a couple times in the past 2 weeks. i think it can go much higher. the volume is a tell.
WallStreetBio, I applaude you too.
I remember trading this one at $10 but got out breakeven before it started going down. Got into this again at $4 only after you started updating. good call. ;)
Quote from: njshiva on July 10, 2007, 10:53:29 PM
Quote from: WallStreetnBio on July 10, 2007, 09:03:15 PM
thanks setravis ;)
the float is only 5.7 million shares which is awsome. the volume has been over a million shares the past week of trading so its turned that float over a couple times in the past 2 weeks. i think it can go much higher. the volume is a tell.
WallStreetBio, I applaude you too.
I remember trading this one at $10 but got out breakeven before it started going down. Got into this again at $4 only after you started updating. good call. ;)
Thanks buddy. I don't like to post on this board unless I know I found a sure winner but it seems like no one has listened. It's good to hear someone else is actually buying this stock. I plan on adding to my position all the way to $10. This will be a long term holding for me.
Nice posts....been following and buying dips on this for for a couple months now. I hope this hits the teens again....I like this in the long run also as stell demand reamains strong.
One risk to keep in mind is the Share Dilution of the Stock: CPSL will issue and sell approx. 8 million shares at $3. I think this news was the reason the stock dipped below $3 bucks recently.
Copy of May 10-Q statement with this news:
Stock Purchase Agreement. On February 16, 2007, the Company entered into a Stock Purchase Agreement with the investors named therein (the "Stock Purchase Agreement") pursuant to which the Company agreed to issue and sell in a private placement (the "Private Placement") up to 7,451,665 new shares of its common stock, par value $.001 per share (the "Common Stock"), at a price of $3.00 per share. The Private Placement was made to accredited institutional and other investors in the United States and elsewhere in reliance upon available exemptions from the registration requirements of the Securities Act of 1933, as amended (the "Act"), including Section 4(2) thereof and Regulation D and Regulation S promulgated thereunder. On February 21, 2007, the Company received gross proceeds of $20,805,000 upon the initial closing of the Private Placement. A further closing occurred on or about February 23, 2007 with respect to the receipt of additional proceeds of $1,549,995. The Company intends to use the proceeds from the Private Placement for expansion of its production capacity, to repay certain of its outstanding debt and for general working capital purposes. Under the Stock Purchase Agreement, the Company's officers and directors, as well as the U.S. and International placement agents, entered into lock-up agreements with respect to their shareholdings in the Company. The foregoing summary is qualified in its entirety by reference to the Stock Purchase Agreement and the form of lock-up agreement, both as incorporated herein by reference to Exhibits 10.4 and 10.5 attached hereto. The securities sold in The Private Placement have been registered for resale under the Act on a registration statement on Form S-3, File No. 333-141588, which was declared effective by the U.S. Securities and Exchange Commission on April 4, 2007.
i am in 3.80 ...looks like support 3.75
earnings next week i expect run into earnings started yesterday today retraced a bit....
very nice long term chart!
Great run for this stock. It is going up like a rocket. Why is no one following this stock??
The P/E is still very low. it has space to go up.
Quote from: guledh0 on September 24, 2007, 05:52:12 PM
Great run for this stock. It is going up like a rocket. Why is no one following this stock??
The P/E is still very low. it has space to go up.
Should have been following it, still going strong.
Shortin' time, huh?
Quote from: Kublakhan on September 26, 2007, 03:43:42 AM
Shortin' time, huh?
At your own risk...... ???
Year End 2007 China Precision Steel, Inc. Earnings Conference Call
Scheduled to start Wed, Oct 17, 2007, 9:00 am Eastern
Check back at the scheduled start time for
the audio link to appear in this spot.
Link....... http://biz.yahoo.com/cc/2/86082.html
52wk Range: 2.58 - 16.58
Volume: 9,452,543
Avg Vol (3m): 2,613,970
Technicals
Last Price Quote is:
15.52%above 13-day MA
63.50%above 50-day MA
RS Rating: 99
Fundamentals
Key Data:
Market Cap (M): $368.55
P/E Ratio: 36.82
PEG Ratio: N/A
Next Earnings: N/A
Last Analyst Rating: N/A
AP
China Precision's 2007 Profit Dips 1 Pct
Tuesday October 16, 10:55 am ET
Increased Operating Expenses Trim China Precision Steel's Fiscal 2007 Profit by 1 Percent
NEW YORK (AP) -- China Precision Steel Inc. said Tuesday fiscal 2007 earnings slipped 1 percent as expenses from listing on the Nasdaq Capital Market and bad debt provisions offset a big revenue increase.
For the year ended June 30, the Shanghai-based company reported income of $8.3 million, or 29 cents per share, compared with $8.4 million, or 35 cents per share, the previous 12-month period.
Revenue for the year jumped 55 percent to $54 million from $34.9 million in fiscal 2006. Much of the increase stemmed from a 59 percent increase in volume of the company's precision steel products to 67,021 metric tons. Sales were particularly strong in the Philippines and Thailand, which accounted for 9 percent of total revenue.
Profit was hurt by a huge increase in operating expenses, which totaled $5.9 million in fiscal 2007 compared with $667,989 in fiscal 2006. The increase was primarily due to a $3.8 million provision for bad debts. The company did not record a provision for bad debts in fiscal 2006.
General and administrative expenses also rose substantially to $1.9 million from $505,764, from the amortization of intangible assets and fees for listing on the Nasdaq Capital Market.
Shares jumped $1.77, or 18.7 percent, to $10.90 in morning trading.
Takeover !!
Changed name from Oralab.......(OLAB)
CHINA PRECISION STEEL INC COM (NASDAQ: CPSL)
Thu, Jan 4, 2007
• ORALABS HOLDING CORP Files SEC form 8-K, Entry into a Material Definitive Agreement, Completion of Acquisition or Dis
EDGAR Online (Thu, Jan 4)
Link... http://biz.yahoo.com/e/070104/cpsl8-k.html
Tue, Feb 13, 2007
• CHINA PRECISION STEEL, INC. Files SEC form 8-K, Entry into a Material Definitive Agreement, Financial Statements and
EDGAR Online (Tue, Feb 13)
Link... http://biz.yahoo.com/e/070213/cpsl8-k.html
China Precision Steel Closes $47.9 Million Financing
Tuesday November 6, 6:31 pm ET
SHANGHAI, China, Nov. 6 /Xinhua-PRNewswire/ -- China Precision Steel (Nasdaq: CPSL - News), a niche precision steel processing company principally engaged in producing and selling high precision cold-rolled steel products, announced today that it has successfully completed the sale to certain institutional investors of an aggregate of 7,100,000 shares of its common stock at a purchase price of $6.75 per share and an aggregate of 1,420,000 warrants to purchase its common stock, for gross proceeds of $47,925,000. Roth Capital Partners, LLC acted as the placement agent for this registered direct transaction.
ADVERTISEMENT
"The market opportunity for high value ultra-thin precision steel remains strong. With this additional capital, we plan to expand our production capacity of high carbon and specialty precision steel as we build our dominant position in China and expand into international markets," commented Dr. Wo Hing Li.
China Precision Steel Announces First Quarter Fiscal 2008 Results
Wednesday November 21, 8:00 am ET
SHANGHAI, China, Nov. 21 /Xinhua-PRNewswire/ -- China Precision Steel (Nasdaq: CPSL - News), a niche precision steel processing company principally engaged in producing and selling high precision cold-rolled steel products, announced today its results for the first quarter of fiscal 2008 ending September 30, 2007.
2008 First Fiscal Quarter Highlights
-- Revenue increased 141% period-over-period to $25.3 million
-- Volume of precision steel sold increased 191% to 28,683 metric tons
-- Gross profit was $5.1 million, up 36.8% period-over-period
-- New cold-rolled mill currently operating at 40% capacity
"Our continued revenue growth this quarter is the result of increased sales of our low-carbon and high-carbon cold-roll steel products. Our capacity is gradually increasing with our second cold-rolled mill currently operating at 40% utilization," commented Dr. Wo Hing Li, China Precision Steel's Chairman and CEO. "Volume sold of precision steel products is up 191% as we continue to increase our market share."
Revenue for the first quarter of fiscal 2008 was $25.3 million, up 141% from $10.5 million in the first quarter of fiscal 2007. The increase in revenue was driven by increased sales of high carbon and low carbon cold rolled steel resulting from the Company's increased capacity and the continued development of its brand in China. Sales volume of precision steel products increased to 28,683 tons, up 191% from 9,859 tons in the first quarter of fiscal 2007. High carbon and low carbon products accounted for 59% and 40%, respectively, compared to 64% and 35%, respectively, in the same period a year ago. Revenue from exports was $1.5 million, or 6% of total revenues.
Gross profit in the first quarter of fiscal 2008 was $5.1 million, up 36.8% from gross profit of $3.7 million in the same period a year ago. Gross margin was 20.0% compared to 35.3% from the prior year period. The gross profit margin was negatively impacted by a change in sales mix in the current quarter, which resulted in increased sales of lower margin products in the high-carbon cold-rolled steel product line. Gross margin was also negatively impacted by higher depreciation costs associated with the addition of a second mill, which increased cost of sales.
Operating expenses were $1.2 million, or 4.8% of revenue, compared to $236,302 or 2.2% of revenue, in the first quarter of fiscal 2007. The increase in operating expenses was primarily due to a provision for bad debts of $625,998 recorded in the first quarter of fiscal 2008. Administrative expenses increased due to the amortization of intangible assets, compliance costs associated with the Company's U.S. regulatory and reporting requirements and higher salaries and wages. Selling expenses increased principally due to higher transportation expenses resulting from a broader customer base, including exports, as well as an increase in the frequency of deliveries.
Operating income for the first quarter of fiscal 2008 was $3.8 million, up 10.8% from operating income of $3.5 million in the same quarter last year.
Net income for the first quarter of fiscal year 2008 was $2.9 million, unchanged from $2.9 million in the same period of the prior year. Fully diluted earnings per share were $0.08 compared to $0.12 in the comparable period a year ago. Weighted average diluted shares outstanding for the quarter increased to 37.4 million, reflecting an increase of about 14.1 million shares principally related to a private placement of the Company's equity securities in February 2007.
Financial Condition
As of September 30, 2007, China Precision Steel had $6.0 million in cash and cash equivalents, total liabilities of $41.2 million and working capital of $19.2 million. Shareholders' equity stood at $54.9 million compared to $51.1 million as of June 30, 2007.
Business Outlook
China Precision Steel's new cold-rolled mill with 150,000 metric tons of design capacity is operating at 40% utilization. It is expected to reach 50% utilization by the end of calendar year 2007. The Company has plans to commence the construction of a third mill with 150,000 metric tons of capacity in the first quarter of 2008.
"We are continuing with our plans to expand our production capacity. We recently completed a registered direct financing for net proceeds of $44 million. With the additional funds, we are in the position to begin construction on our third mill at the beginning of 2008," commented Dr. Li. "We are expanding our capacity to meet the market demand in China for high quality precision steel. We have recently embarked on several new R&D projects, which include cold rolled steel used in drawer guidance rails and in double layer welded pipes for various industrial applications."
Subsequent Events
On November 6, 2007, China Precision Steel completed a registered direct offering to certain institutional investors of an aggregate of 7,100,000 shares of its common stock at a purchase price of $6.75 per share and an aggregate of 1,420,000 warrants to purchase its common stock, for net proceeds of approximately $44 million. Approximately $18 million of the net proceeds will be used to purchase a new hydrogen annealing furnace and a new 1700 mm cold rolled mill, approximately $22 million will be used to repay certain existing bank debt, and the balance will be available for general corporate purposes.
On November 12, 2007, at the Annual Meeting of the Company's shareholders in New York City, the Company's shareholders approved the reincorporation of the Company in the state of Delaware. The reincorporation was effected on November 16, 2007 through a merger with and into the Company's wholly-owned subsidiary.
About China Precision Steel
China Precision Steel is a niche precision steel processing company principally engaged in the production and sale of high precision cold-rolled steel products and provides value added services such as heat treatment and cutting medium and high carbon hot-rolled steel strips. China Precision Steel produces high precision ultra-thin, high strength (7.5 mm to 0.05 mm) cold- rolled steel products primarily for automotive components, food packaging materials, saw blades and textile needle manufacturing companies in the People's Republic of China. However, China Precision Steel is expanding into overseas markets such as Nigeria, Thailand, Indonesia and the Philippines, and intends to expand into Japan, the European Union and the United States in the future.
Conference Call
China Precision Steel will host a conference call on Monday, November 26 at 9:00 am EST to discuss first quarter of fiscal 2008 results. To participate in the live conference call, please dial the following number five to ten minutes prior to the scheduled conference call time: 888-482-0024. International callers should dial 617-801-9702. When prompted by the operator, mention conference pass code 102 675 65.
If you are unable to participate in the call at this time, a replay will be available for seven days starting on Monday, November 26, 2007 at 11:00 a.m. Eastern Time. To access the replay, dial 888-286-8010 and enter the pass code 41024398. International callers should dial 617-801-6888 and enter the same pass code 41024398.
This conference call will be broadcast live over the Internet and can be accessed by all interested parties by clicking on http://www.chinaprecisionsteelinc.com . Please access the link at least fifteen minutes prior to the start of the call to register, download, and install any necessary audio software. For those unable to participate during the live broadcast, a 90-day replay will be available shortly after the call by accessing the same link.
Forward-Looking Statements
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Certain statements in this press release and oral statements made by China Precision Steel on its conference call in relation to this release, constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements include, without limitation, statements regarding our ability to prepare the company for growth, the Company's planned manufacturing capacity expansion in 2007 and predictions and guidance relating to the Company's future financial performance. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs but they involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, business conditions in China, weather and natural disasters, changing interpretations of generally accepted accounting principles; outcomes of government reviews; inquiries and investigations and related litigation; continued compliance with government regulations; legislation or regulatory environments, requirements or changes adversely affecting the businesses in which China Precision Steel is engaged; cyclicality of steel consumption including overcapacity and decline in steel prices, limited availability of raw material and energy may constrain operating levels and reduce profit margins, environmental compliance and remediation could result in increased cost of capital as well as other relevant risks not included herein. The information set forth herein should be read in light of such risks. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. The forward-looking statements made herein speak only as of the date of this press release and the Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the company's expectations.
-- Financial Tables Follow --
China Precision Steel, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
For the Three Months Ended September 30. 2007 and 2006
(Unaudited)
2007 2006
Revenues
Sales revenues $25,312,698 $10,503,348
Cost of goods sold 20,245,135 6,800,098
Gross profit 5,067,563 3,703,250
Operating expenses
Selling expenses 100,705 39,697
Administrative expenses 486,377 186,188
Provision for bad debts 625,998 --
Depreciation and amortization expense 13,632 10,417
Total operating expenses 1,226,712 236,302
Income from continuing operations 3,840,851 3,466,948
Other income (expense)
Other revenues 9,155 --
Interest and finance costs (442,141) (203,339)
Total other income (expense) (432,986) (203,339)
Net income from continuing operations
before income tax 3,407,865 3,263,609
Provision for (benefit from) income tax
Current (182,977) 929,370
Deferred 690,116 (475,009)
Total income tax expense 507,139 454,361
Net income before discontinued operations 2,900,726 2,809,248
Net income from discontinued operations -- 155,072
Net income $2,900,726 $2,964,320
Basic earnings per share
From continuing operations $0.08 $0.11
From discontinued operations $ -- $0.01
Total $0.08 $0.12
Basic weighted average shares
outstanding 37,378,143 24,283,725
Diluted earnings per share
From continuing operations $0.08 $0.11
From discontinued operations $ -- $0.01
Total $0.08 $0.12
Diluted weighted average shares
outstanding 38,397,325 24,283,725
China Precision Steel, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)
September 30, June 30,
2007 2007
Assets
Current assets
Cash and equivalents $6,049,792 $5,504,862
Accounts receivable
Trade, net of allowances of $908,008 and
$273,461 at September 30, 2007 and June
30, 2006, respectively 14,103,862 8,242,044
Bank acceptance notes 14,862,667
Other 19,362 85,708
Inventory 7,827,785 15,723,704
Deposits -- 82,758
Prepaid expenses 14,702 --
Advances to suppliers, net of allowance of
$2,305,637 and $3,502,184 at September
30, 2007 and June 30, 2006, respectively 11,521,415 11,699,918
Total current assets 54,399,585 41,338,994
Property and equipment
Land use rights 1,475,342 1,124,583
Property and equipment, net 29,290,837 29,238,227
Construction-in-progress 10,846,113 10,355,763
41,612,292 40,718,573
Goodwill 99,999 99,999
Total assets $96,111,876 $82,157,566
Liabilities and Stockholders' Equity
Current liabilities
Accounts payable and accrued liabilities $3,537,985 $4,855,932
Advances from customers 8,286,100 1,720,812
Other taxes payables 2,054,814 716,554
Current income taxes payable 2,197,655 1,892,866
Deferred income taxes payable 1,791,265 1,064,028
Amounts due to directors 845,523 --
Current portion of long-term debt -- 6,163,445
Notes payable 16,490,833 9,842,520
Total current liabilities 35,204,175 26,256,157
Long-term debt, net of current portion
shown above 6,008,889 6,878,714
Stockholders' equity:
Preferred stock: $0.001 per value,
8,000,000 shares authorized, no
shares outstanding at June 30, 2007
and 2006
Ordinary stock: $0.001 par value,
62,000,000 shares authorized,
37,378,143 and 24,283,725 issued and
outstanding June 30, 2007 and 2006 37,378 37,378
Additional paid-in capital 31,867,063 31,867,063
Accumulated other comprehensive income 3,085,407 2,192,160
Retained earnings 19,908,964 17,008,238
Total stockholders' equity 54,898,812 51,104,839
Amounts due from directors -- (2,082,144)
Total liabilities and stockholders' equity $96,111,876 $82,157,566
China Precision Steel, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
For the Three Months Ended September 30, 2007 and 2006
(Unaudited)
2007 2006
Cash flows from operating activities
Net Income $2,900,726 $2,964,320
Adjustments to reconcile net income
to net cash provided by (used in)
operating activities
Depreciation 493,613 260,892
Less income from discontinued
operations - Oralabs, Inc -- (155,072)
Provision for doubtful accounts 625,998 --
Net changes in assets and
liabilities:
Accounts receivable, net (21,208,354) 981,606
Inventories 8,039,005 (8,236,768)
Advances to suppliers 284,972 (4,506,824)
Deposits 82,758 (196,233)
Prepayments (14,702) --
Accounts payable and accrued
expenses (1,362,136) 10,805,570
Advances from customers 6,549,629 2,976,867
Deferred income taxes 690,166 (475,009)
Current income taxes (182,977) 929,370
Taxes payable 1,826,668 139,996
Net cash provided by operating
activities (1,274,634) 5,488,715
Cash flows from investing activities
Purchases of fixed assets including
construction in progress (1,016,793) (5,230,112)
Net cash (used in) investing
activities (1,016,793) (5,230,112)
Cash flows from financing activities
Advances from directors, net 2,946,615 (3,894,566)
Notes payable proceeds 16,490,833 4,233,252
Repayments of notes payable (17,084,041) --
Net cash provided by financing
activities 2,353,407 338,686
Effect of exchange rate 479,950 97,772
Net increase (decrease) in cash 541,930 695,061
Cash and cash equivalents, beginning
of year 5,504,862 186,955
Cash and cash equivalents, end of
year $6,046,792 $882,016
Stock's On Fire Today!
Stock up 20% this AM!!!
Running ;D
Updated chart look...
SmallCapInvestor.com
China Precision Steel, City Telecom and Pyramid Oil lead small-cap percentage gainers
Monday May 19, 12:51 pm ET
Will Atkinson
China Precision Steel Inc (NasdaqCM:CPSL - News), City Telecom Ltd (NasdaqGM:CTEL - News) and Pyramid Oil Co (AMEX:PDO - News) are among the biggest percentage gainers in Monday's trading among companies with market capitalizations under $750 million.
Royale Energy Inc (NasdaqGM:ROYL - News), China Technology Development Group Corp (NasdaqCM:CTDC - News) and Cheniere Energy Inc (AMEX:LNG - News) are also among the biggest percentage gainers.
Here are the biggest percentage gainers among small caps:
China Precision Steel Inc. (CPSL) TraderNote – CPSL Announces Q3 2008 Revenue Increase of 61 Percent Year-over-Year to $18.7 Million
China Precision Steel Inc. (CPSL) shares are up nearly 22 percent to $7.32, maintaining Friday's 38 percent climb. China Precision is a steel processing company engaged in the manufacture and sale of high precision cold-rolled steel products in China. It sells its products in China, Nigeria, Thailand, Indonesia and the Philippines.
China Precision recently announced that revenues for the third quarter of fiscal 2008 were $18.7 million, up 61 percent from $11.6 million in the third quarter last year. The company attributes the sales revenue increase to production increases and exports of low carbon hard-rolled steel coils and subcontracting income during the quarter.
China Precision produces and sells precision ultra-thin and high strength cold-rolled steel products with thicknesses ranging from 7.5 mm to 0.03 mm. It also provides heat treatment and cutting of medium and high carbon hot-rolled steel strips.
The company's precision products are primarily used in the manufacture of automobile parts and components, plane friction discs, appliances, food packaging materials, saw blades, textile needles, microelectronics, packing and containers.
In last Friday's daily chart, almost all technical indicators of CPSL are pointed north. The RSI indicator so far, with a reading of 87 percent, reflects a bullish signal with the line steeply directed upward and no indication of an exhausted condition. MACD indicator reflects a strong bullish signal with the histogram reading above the 0 level at 0.184 and the 12-day and 26-day EMAs also above 0 at 0.232 and 0.048, respectively, indicating an increase in moving averages. Slow Stochastic indicator with readings so far of 86.22 %k and 72.21 %D reflects a bullish signal with the lines steeply directed upward and no indication of an exhausted condition. The same chart also reflects a technical trading gap formed by the May 15 close at $4.34 and May 16 open at $5.57, indicating a strong bullish signal as initiated by an upward reversal of the stock.
If a stock can officially be on fire, it is CPSL, Shares have moved from under $4.00 to over $7.50 in two days.
The company deserves it and may have further to run, its 52-week high is $12.65.
The building boom in China is likely to help CPSL for several years. The risks in the company are the rising costs of iron, which could pinch margins, and any sharp drop in China's GDP. So far, so good.
CPSL's large production facility only operates at 50% capacity now. That is something of a drag on expenses, but it means as the company grows, it should not have large capex.
Owning a company like this with Chinese GDP going up 10% per annum is a license to steal.
Insiders own 58% of this stock, so.....
Keep an eye on inside trading, WATCH CLOSELY and learn. If they hold tight this baby is a 'rocketman'.....
Volume doesn't lie, this puppy will go more....... ;) ;D
In the area of a 61.8% Fib retrace.......
DALLAS, Dec 31, 2008 (BUSINESS WIRE) -- For the fourth quarter and for the year 2008, the Halter USX China Index (HXC) was down 23.08% and 56.67% respectively. During the same period (fourth quarter and year end), the Dow Jones Industrial Average decreased by 19.12% and 33.84% respectively, while the NASDAQ finished down 24.27% and 40.54%.
HXC is also pleased to announce the inclusion of 16 new constituents to its existing index of China-focused, U.S. listed companies including: Advanced Battery Technologies, Inc. (ABAT, Trade) designs, manufactures, and markets rechargeable polymer lithium-ion (PLI) batteries; AirMedia Group, Inc (AMCN, Trade) operates digital media network in China for air travel advertising; A-Power Energy Generation Systems (APWR, Trade) designs, constructs, and tests distributed power generation and micro power grids; ATA, Inc. (ATAI, Trade) provides computer-based testing services; BMP Sunstone Corporation (BJGP, Trade) operates as a pharmaceutical and over-the-counter manufacturing, marketing, and distribution company; China Architectural Engineering (CAEI, Trade) engages in the design, manufacturing, installation, and maintenance of structural glass and light structure building; China INSOnline Corp. (CHIO, Trade) operates as an Internet service and media company; China Natural Resources, Inc. (CHNR, Trade) engages in the exploration, mining, and development of zinc, iron, and other minerals; China Precision Steel, Inc. (CPSL, Trade) engages in the manufacture and sale of high precision cold-rolled steel products; AgFeed Industries, Inc. (FEED, Trade) engages in the research and development, manufacture, marketing, and sale of fodder and blended feed; HLS Systems International, Ltd. (HOLI, Trade) designs, develops, produces, sells, installs, and maintains automation and control equipment and systems; Harbin Electric, Inc. (HRBN, Trade) develops, engineers, manufactures, and sells customized linear motors, motor/controller automation systems, automobile specialty micro-motors, and other special motors; Jinpan International Limited (JST, Trade) engages in the design, manufacture, and sale of cast resin transformers for voltage distribution equipment; and Vimicro International Corp. (NASDAQ; VIMC) designs, develops, and markets semiconductor products and solutions.
It was also announced that China Techfaith Wireless Communication Technology Limited (CNTF, Trade), Origin Agritech Limited (SEED, Trade), Spreadtrum Communications Inc. (SPRD, Trade), Hurray! Holding Co., Ltd. (HRAY, Trade), Webzen Inc. (WZEN, Trade), China Housing & Land Development, Inc. (CHLN, Trade), China Direct, Inc (NASDAQ: CDSDD), SORL Auto Parts, Inc (SORL, Trade), Ninetowns Internet Technology Group Company Ltd. (NINE, Trade), Linktone Ltd (LTON, Trade), HSW International, Inc. (HSWI, Trade), and Deswell Industries Inc (DSWL, Trade) were removed from the Index.
About the Halter USX China Index
The Index, created by the Halter Financial Group and calculated and distributed by the Amex, is comprised of companies whose common stock is publicly traded in the United States and the majority of whose business is conducted within the People's Republic of China. The Halter USX China Index was created in response to the unique economic opportunities taking place in China, as well as the current dynamics in the United States capital markets. While there is strong demand for Chinese equity, U.S. investors still seek and prefer the transparency offered with a U.S. listing. For a company to be included in the Halter USX China Index it must conduct a majority of its business in China, maintain an average market cap of over $50 million for the preceding 40 trading days, trade on the NYSE, Amex or NASDAQ and be approved by USX Selection Committee. Investors can gain exposure to the Index by either investing in an exchange traded fund (ETF), the PowerShares Golden Dragon Halter USX China Portfolio (DSWL, Trade) or by purchasing an actively managed mutual fund, the Halter Pope USX China Fund (Symbol: HPCHX). For more information please visit www.usxchinaindex.com. The following 104 public companies currently comprise the Halter USX China Index:
3SBio, Inc. (SSRX)
51 Job, Inc. (JOBS)
Acorn International, Inc. (ATV)
Actions Semiconductor Co (ACTS)
Advanced Battery Technologies, Inc. (ABAT)
AgFeed Industries, Inc. (FEED)
Agria Corp. (GRO)
AirMedia Group, Inc (AMCN)
Aluminum Corp. of China Ltd. (ACH)
American Dairy, Inc (ADY)
A-Power Energy Generation Systems (APWR)
AsiaInfo Holdings, Inc. (ASIA)
ATA, Inc. (ATAI)
Baidu.com, Inc. (BIDU)
BMP Sunstone Corporation (BJGP)
Canadian Solar, Inc. (CSIQ)
CDC Corp (CHINA)
China Architectural Engineering (CAEI)
China Automotive Systems Inc (CAAS)
China BAK Battery, Inc. (CBAK)
China Digital TV Holdings Co., LTD. (STV)
China Eastern Airlines Corporation Ltd. (CEA)
China Finance Online (JRJC)
China Fire & Security Group (CFSG)
China Information Security Technology, Inc (CPBY)
China INSOnline Corp. (CHIO)
China Life Insurance Co Ltd (LFC)
China Medical Technologies, Inc. (CMED)
China Mobile Hong Kong Ltd. (CHL)
China National Offshore Oil Corp. (CEO)
China Natural Resources, Inc. (CHNR)
China Nepstar Chain Drugstore Ltd. (NPD)
China Unicom Ltd. (CHU)
China Petroleum and Chemical Corp (Sinopec) (SNP)
China Precision Steel, Inc. (CPSL)
China Security & Surveillance Technology, Inc. (CSR)
China Sky One Medical, Inc. (CSKI)
China Southern Airlines Company Ltd. (ZNH)
China Sunergy Co. Ltd. (CSUN)
China Telecom Corporation Ltd (CHA)
China Unicom Ltd (CHU)
China Yuchai International Ltd. (CYD)
ChinaCast Education Corp. (CAST)
ChinaEdu Corp. (CEDU)
Chindex International Inc (CHDX)
Cninsure, Inc. (CIS)
Cogo Group, Inc. (COGO)
Ctrip.com (CTRP)
E-House (China) Holdings Limited (EJ)
eLong (LONG)
Focus Media Holding Ltd. (NASDAQNM: FMCN)
Fuqi International, Inc. (FUQI)
Fushi International, Inc (FSIN)
General Steel Holdings, Inc. (GSI)
Giant Interactive Group, Inc. (GA)
Global Sources Ltd (GSOL)
Guangshen Railway Co Ltd (GSH)
Gushan Environmental Energy Ltd. (GU)
Harbin Electric, Inc. (HRBN)
HLS Systems International, Ltd. (HOLI)
Home Inns & Hotels Management, Inc. (HMIN)
HuaNeng Power International, Inc. (HNP)
JA Solar Holdings (JASO)
Jinpan International Limited (NASDAQ; JST)
KongZhong Corporation (KONG)
LDK Solar Co. Ltd. (LDK)
Longtop Financial Technologies Limited (LFT)
Medical International Limited (MR)
Nam Tai Electronics Inc (NTE)
Netease.com, Inc. (NTES)
New Oriental Education & Technology Group, Inc. (EDU)
Noah Education Holdings, Ltd. (NED)
Perfect World Co., Ltd. (PWRD)
PetroChina Co. Ltd. (PTR)
Qiao Xing Mobile Com (QXM)
Qiao Xing Universal Telephone, Inc. (XING)
Semiconductor Manufacturing International Corp (SMI)
Shanda Interactive Entertainment Ltd (SNDA)
Shengdatech Inc (SDTH)
Simcere Pharmaceutical Group (SCR)
Sina Corporation (SINA)
Sinopec Shanghai Petrochemcial Co. Ltd. (SHI)
Sinovac Biotech, Ltd. (SVA)
Sohu.com, Inc. (SOHU)
Solarfun Power Holdings Co., Ltd. (SOLF)
Suntech Power Holdings Co. Ltd. (STP)
Sutor Technology Group, Ltd. (SUTR)
The9 Limited (NCTY)
Tiens Biotech Group (TBV)
Tongjitang Chinese Medicines (TCM)
Trina Solar Limited (TSL)
UTStarcom Inc (UTSI)
Vimicro International Corp. (NASDAQ; VIMC)
VisionChina Media Inc. (VISN)
Wonder Automotive Technology, Inc. (WATG)
WSP Holdings Ltd. (WH)
Wuhan General Group (China), Inc. (WUHN)
WuXi Pharma Tech (Caymen) Inc. (WX)
Xinhua Finance Media Limited (XFML)
Xinyuan Real Estate Company Ltd. (XIN)
Yanzhou Coal Mining Co. Ltd. (YZC)
Yingli Green Energy Holdings Co. Ltd. (YGE)
Yucheng Technologies Limited (YTEC)
Zhongpin, Inc. (HOGS)
The information in this news release includes certain forward-looking statements that are based upon assumptions that in the future may prove not to have been accurate and are subject to significant risks and uncertainties, including statements to the future financial performance of the Company. Although the Company believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct. Factors that could cause results to differ include, but are not limited to, successful performance of internal plans, product development and acceptance, the impact of competitive services and pricing, or general economic risks and uncertainties.
SOURCE: Halter USX China Index
Halter USX China Index
Chelsea Augustine, 972-233-0300
Copyright Business Wire 2008
SHANGHAI, China, Dec 31, 2008 /PRNewswire-Asia via COMTEX/ -- China Precision Steel, Inc. (CPSL, Trade) ("China Precision Steel" or the "Company"), a niche precision steel processing company principally engaged in producing and selling high precision cold-rolled steel products, today announced that it has filed a universal shelf registration statement on Form S-3 with the U.S. Securities and Exchange Commission (the "SEC"), on December 30, 2008. The shelf registration, when declared effective, will permit China Precision Steel to issue up to an aggregate of $40 million in securities.
The shelf registration provides the Company with flexibility to publicly offer and sell securities from time to time, in one or more separate offerings or other transactions, with size, price and terms to be determined at the time of issuance, and at times when the Company believes that market conditions make such an offering attractive. The Company does not have any commitments or current intentions to sell securities under the registration statement at this time.
"We have no current plans to raise additional capital," commented Dr. Wo Hing Li, China Precision Steel's Chairman and CEO, "but we believe that it is prudent to have a shelf registration statement in place to ensure financing flexibility should the need arise."
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of any securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Any offering may be made only by means of the prospectus and a related prospectus supplement.
About China Precision Steel, Inc.
China Precision Steel, Inc. is a niche precision steel processing Company principally engaged in the production and sale of high precision cold-rolled steel products and provides value added services such as heat treatment and cutting medium and high carbon hot-rolled steel strips. China Precision Steel produces high precision ultra-thin, high strength (7.5 mm to 0.05 mm) cold- rolled steel products primarily for automotive components, food packaging materials, saw blades and textile needle manufacturing companies in the People's Republic of China. China Precision Steel is expanding its penetration in overseas markets such as Nigeria, Thailand, Indonesia and the Philippines. China Precision Steel was incorporated in 2002 and is headquartered in Sheung Wan, Hong Kong. Additional information can be found at the Company's website http://chinaprecisionsteelinc.com .
Safe Harbor Statement
This press release contains certain statements that may include "forward looking statements." All statements other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects" or similar expressions, involve known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website ( http://www.sec.gov ). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
For more information, please contact:
China Precision Steel, Inc.
Dan Carlson, Director
Email:
[email protected] Elite IR
Leslie J. Richardson, Partner
Tel: +852-3183-0283
Email:
[email protected] SOURCE China Precision Steel, Inc.
http://chinaprecisionsteelinc.com
Copyright (C) 2008 PR Newswire. All rights reserved
Someone is buying this stock...The uptrend is intact...
It is technically good. Volume is better today. Chart is better this time compared to Jan.
No debt and a high quality steel producer in China.
Cup with Handle (Continuation) Pattern
The Cup with Handle is a bullish continuation pattern that marks a consolidation period followed by a breakout. It was developed by William O'Neil and introduced in his 1988 book, How to Make Money in Stocks.
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=48130)
As its name implies, there are two parts to the pattern: the cup and the handle. The cup forms after an advance and looks like a bowl or rounding bottom. As the cup is completed, a trading range develops on the right hand side and the handle is formed. A subsequent breakout from the handle's trading range signals a continuation of the prior advance.
As with most chart patterns, it is more important to capture the essence of the pattern than the particulars. The cup is a bowl-shaped consolidation and the handle is a short pullback followed by a breakout with expanding volume. A cup retracement of 62% may not fit the pattern requirements, but a particular stock's pattern may still capture the essence of the Cup with Handle.
Example...
Breakout with Power!! Very impressive.
This play has legs...
(http://www.3stocksonfire.org/trading/index.php?action=dlattach;attach=48149)
China Precision Steel Announces Conference Call to Discuss Third Quarter Fiscal 2009 Results
SHANGHAI, May 4 /PRNewswire-Asia/ -- China Precision Steel, Inc. (Nasdaq: CPSL - News; "China Precision Steel" or the "Company"), a niche precision steel processing company principally engaged in producing and selling high precision cold-rolled steel products, today announced that it will conduct a conference call at 9:00 a.m. Eastern Time on Monday, May 11, 2009 to discuss the third quarter fiscal 2009 results.
This conference call will be broadcast live over the Internet and may be accessed by clicking on http://www.chinaprecisionsteelinc.com
52wk Range: 0.86 - 8.48
Volume: 6,804,704
Avg Vol (3m): 457,789
Market Cap: 136.89M
P/E (ttm): 13.36
EPS (ttm): 0.22
Div & Yield: N/A (N/A)
Technicals
Last Price Quote is:
86.91%above 13-day MA
112.98%above 50-dayMA
RS Rating: 95
Fundamentals
Key Data:
Market Cap (M): $88.47
P/E Ratio: 8.35
PEG Ratio: N/A
Next Earnings: 05/08/2009
Last Analyst Rating: Hold
CPSL - Momentum...
China Precision Steel, Inc., a steel processing company, engages in the manufacture and sale of high precision cold-rolled steel products in China.
updated chart look...
Updated chart scene...
China Precision Steel Announces First Quarter Fiscal 2011 Results...
Press Release Source: China Precision Steel Inc. On Monday November 15, 2010, 9:46 pm
SHANGHAI, Nov. 15, 2010 /PRNewswire-Asia-FirstCall/ -- China Precision Steel, Inc. (Nasdaq:CPSL - News) ("China Precision Steel" or the "Company"), a niche precision steel processing Company principally engaged in producing and selling high precision, cold-rolled steel products, announced today its fiscal 2011 first quarter results for the period ended September 30, 2010.
First Quarter Highlights
•Revenue increased 98.9% to $33.9 million compared to the first quarter of fiscal 2010
•Sales volume was a record 42,513 tons
•Gross profit increased 239.0% to $2.4 million with 7.0% gross margin compared to the first quarter of fiscal 2010
•Net income was $0.6 million
•Fully diluted income per share was $0.01
"We are pleased with the continued strong revenue growth as domestic demand remains robust. Specifically, our sales for low carbon products during the quarter was a record $23.9 million as we received an overwhelming increase in orders for low carbon steel to manufacture home appliances. In addition, with the added capacity from our new mill, our sales volume was a record 42,513 tons," commented Mr. Hai Sheng Chen, CEO of China Precision Steel. "With the continued strong domestic demand and a backlog as of September 30, 2010 of $33.7 million, we remain upbeat on our future growth opportunities."
Revenue for the first quarter of fiscal 2011 was $33.9 million, up 98.9% from revenue in the first quarter of fiscal 2010 of $17.0 million. The increase in revenue was mainly attributed to the increase in demand for low-carbon cold-rolled products used in construction and home appliances production. Total sales volume and average selling price per ton in the first quarter increased to 42,513 tons and $797, respectively, compared to total sales volume and average selling price of 22,293 and $764, respectively, in the first quarter of fiscal 2010. High carbon and low carbon sales accounted for 19.3% and 70.5% of total sales, respectively, compared to 34.5% and 55.3%, respectively in the first quarter of fiscal 2010. Exports represented 8% of total sales for the quarter.
Gross profit in the first quarter was $2.4 million, up 239.0% from gross profit in the same period a year ago of $0.7 million. Gross margin was 7.0% compared to 4.1% in the first quarter of fiscal 2010. The increase in gross margin was mainly due an increase in average selling prices and a higher equipment utilization rate.
Selling expenses for the first quarter of fiscal 2011 were $110,205, or 0.3% of revenue, compared to $31,809, or 0.2% of revenue, in the first fiscal quarter of fiscal 2010. The increase in selling expenses was primarily attributable to increased focus on sales and marketing efforts. Administrative expenses were $871,470, or 2.6% of revenue, compared to $578,698, or 2.6% of revenue. The increase in administrative expenses is due to an increased travelling costs and professional fees during the period.
Operating income for the quarter was $1.4 million, compared to operating loss of $68,003 million in the first quarter of fiscal 2010.
Net profit for the first quarter of fiscal 2011 was $644,511, compared to net loss of $275,191 in for the first quarter of fiscal 2010. Fully diluted earnings per share were $0.01 compared to fully diluted loss per share of $0.01 in the same period a year ago.
Financial Condition
As of September 30, 2010, China Precision Steel had $12.7 million in cash and cash equivalents, $18.3 million in long term debt, total liabilities of $63.2 million and working capital of $66.2 million. Stockholders' equity stood at $129.4 million compared to $127.1 million as of September 30, 2009.
Business Outlook
China Precision Steel is ramping up production capacity with the addition of its third mill, which went into production in January 2010. The new mill is currently operating at 25% of its design capacity. Total production capacity is expected to increase by approximately 35,000 tons to 195,000 tons by the end of fiscal 2011 as the new mill continues to ramp up production. Once all mills reach full design capacity in approximately three to four years, total production capacity is expected to be approximately 260,000 tons. As of September 30, 2010, China Precision Steel had a backlog of $33,772,326.
"We believe that the next few years will continue to provide numerous growth opportunities for us as domestic consumption is expected to remain strong. Specifically, the Chinese government recently released its 12th five-year plan in which it stated that its focus for economic growth is shifting from dependence on export-led sectors to increasing domestic consumer demand," Mr. Chen continued. "Moreover, we expect that demand for our precision steel products will also benefit from the increasing number of international manufacturers moving their production facilities to China."
About China Precision Steel, Inc.
China Precision Steel, Inc. is a niche precision steel processing company principally engaged in the production and sale of high precision cold-rolled steel products and provides value added services such as heat treatment and cutting medium and high carbon hot-rolled steel strips. China Precision Steel's high precision, ultra-thin, high strength (7.5 mm to 0.05 mm) cold-rolled steel products are mainly used in the production of automotive components, food packaging materials, saw blades and textile needles. The Company primarily sells to manufacturers in the People's Republic of China and overseas markets such as Nigeria, Thailand, Indonesia and the Philippines. China Precision Steel was incorporated in 2002 and is headquartered in Sheung Wan, Hong Kong. Additional information can be found at the Company's website http://chinaprecisionsteelinc.com.
Conference Call
China Precision Steel will host a conference call on Tuesday, November 16, 2010 at 9:00 a.m. Eastern Time to discuss fiscal 2011 first quarter results. To participate in the live conference call, please dial the following number fifteen minutes prior to the scheduled conference call time: 866-800-8648. International callers should dial 617-614-2702. When prompted by the operator, mention conference passcode 334 143 05.
If you are unable to participate in the call at this time, a replay will be available for 14 days starting on Tuesday, November 16, 2010 at 11:00 a.m. Eastern Time. To access the replay, dial 888-286-8010 and enter the passcode 97099877. International callers should dial 617-801-6888 and enter the same passcode.
This conference call will be broadcast live over the Internet and can be accessed by all interested parties by clicking on http://www.chinaprecisionsteelinc.com. Please access the link at least fifteen minutes prior to the start of the call to register, download, and install any necessary audio software. For those unable to participate during the live broadcast, a 90-day replay will be available shortly after the call by accessing the same link.
Forward-Looking Statements
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Certain statements in this press release and oral statements made by China Precision Steel on its conference call in relation to this release, constitute forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements include, without limitation, statements regarding China Precision Steel's ability to prepare the Company for growth, the Company's planned manufacturing capacity expansion, predictions about improvements in the global economy and predictions and guidance relating to the Company's future financial performance. We have based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs but they involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements, such as business conditions in China, weather and natural disasters, changing interpretations of generally accepted accounting principles; outcomes of government reviews; inquiries and investigations and related litigation; continued compliance with government regulations; legislation or regulatory environments, requirements or changes adversely affecting the businesses in which China Precision Steel is engaged; cyclicality of steel consumption including overcapacity and decline in steel prices, limited availability of raw material and energy may constrain operating levels and reduce profit margins, environmental compliance and remediation could result in increased cost of capital as well as other relevant risks not included herein. The information set forth herein should be read in light of such risks. You are urged to consider these factors carefully in evaluating the forward-looking statements herein and are cautioned not to place undue reliance on such forward-looking statements, which are qualified in their entirety by this cautionary statement. The forward-looking statements made herein speak only as of the date of this press release and the Company undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in the Company's expectations.
Contact Information:
China Precision Steel
Dan Carlson,
[email protected] Elite IR
Leslie J. Richardson, Partner
+852-3183 0283
[email protected]
Day's Range: 1.60 - 1.75
52wk Range: 1.26 - 2.67
Volume: 271,515
Avg Vol (3m): 290,083
Market Cap: 78.22M
P/E (ttm): 14.00
EPS (ttm): 0.12
Div & Yield: N/A (N/A)
Technicals
Last Price Quote is:
3.14%above 13-day MA
5.41%above 50-day MA
RS Rating: 64
China Precision Steel: Ready for a Major Run...
China Precision Steel (CPSL) is both a short-term and long-term "must own," a company that has clearly been overlooked by analysts. Several years ago, the stock had a major sell off, dropping from the $14 level after it made the strategic decision in 2006 to switch its product mix from lower-quality steel products with lower margins to high-precision products with much higher margins.
The company has completely turned around after incurring the associated capital expenditures, including R&D, which caused the stock to drift lower over several years. But now the company is spending only 1% of revenue on R&D, has returned to handsome profitability and is on track to reward investors with rapid and sustained earnings growth. None of these developments have been factored into the stock price.
The stock is extremely undervalued as I will discuss further in this article. I expect the stock to easily break through the $2 mark prior to its upcoming earnings release, and to make a new 52-week high above $2.67 shortly thereafter and reach the $4-$5 range by 2012.
China Precision Steel is a steel processing company engaged in the manufacturing and selling of precision cold-rolled steel products and in the provision of heat treatment and cutting of medium and high carbon hot-rolled steel strips. Its specialty precision products are used in the manufacture of automobile parts and components, steel roofing, plane friction discs, appliances, food packaging materials, saw blades, textile needles and microelectronics.
There are several factors that compel me to buy more of the stock:
1) Increasing Demand/Hyperbolic Market
The company conducts its operations and sells its products in China. Its products are also sold in overseas markets (approximately 19k tons in 2010), such as Thailand, Nigeria and Ethiopia, but the key is China.
In its news release announcing the forecasts, the World Steel Association noted that the country will use 45% more steel in 2011 than it did in 2007, and 3.5% more in 2011 than in 2010. It does not take a rocket scientist to predict that China will continue to enjoy its prominence as the dominant force in global manufacturing and therefore will continue to be a key market for steel. Skeptics may comment about the steel producing capacity of China. And, in fact China has increased its steel exports tremendously over the past several years, making it the number one ranked steel exporter globally.
However, while China is a net exporter of crude steel, it is a net importer of higher value precision cold rolled steel products such as those produced by the company. Manufacturers of products that use specialty precision steel products in China have traditionally imported precision steel products from Japan, Korea, the European Union and the United States. And generally, the quality and standards of China's high precision steel industry have lagged behind the international norm.
Nonetheless, during the last five years, CPSL has developed and established a nationally recognized brand in China. In fact, the precision steel market in China has been growing at 16% for the past five years, and the company sold over 124k tons of precision steel in China in 2010. This contributed to an increase in sales revenues of 44% over 2009, which is phenomenal by any standards. I expect the demand to increase in China not only due to the factors mentioned above but also due to the cost advantage of sourcing precision steel domestically, which includes a 5% tax credit and reduced transportation costs.
Ultimately, for the company's customers, this translates into a 5-10% price discount and shorter delivery times over imports.
2) Increasing Capacity and Backlog
The company currently operates three mills, one of which came online in the beginning of 2010 and is running at 25% capacity. It typically takes three years to ramp a mill up to capacity and I expect the company to increase production by 50k tons annually, achieving full capacity of 260k tons by 2013. This is sustainable growth as the company demonstrated a similar increase YOY from 2009 to 2010 from 81k tons to 134k tons. Combined capacity utilization at the three plants is now 75% and the company still has a sizeable backlog of orders. In fact, the backlog doubled between June and September of 2010.
It should be reiterated that the capacity investments are substantially behind the company, as net cash flows used in investing activities for 2010 was $3.7M as compared with $25.3M for 2009. Cash flows used in investing activities decreased as they completed construction of the new 1450mm cold rolling mill, and there was no additional material construction project during the year.
3) Key Customers
In FY2010, the company increased its sales 2 and 3.5 times with its top two customers, respectively. The company also added a key customer, Hangzhou Cogeneration Co, which is has $2 billion in revenue. Hangzhou's orders now account for 9% of sales and its orders are expected to increase.
4) Rapid Earnings Growth Through Solid Management
In FY2010, the company had earnings of $0.12 per share versus a loss of $0.01 for 2009. The 1470% increase in net income is clear evidence that the company has rounded the corner. The company managed to achieve phenomenal top-line growth during a period of decreasing prices ($748 vs $826 per ton) while also maintaining its margins.
5) Ownership/Insiders
The company has 46M shares of stock outstanding with a float of only 27M. Insiders own 42% of the outstanding shares and have not sold in the past two years. Note, the trading float is only 15M so this stock could move upward very easily on the upcoming earnings news. Also, watch for new institutional money inflows once the stock price stays north of $2 a share for more than 90 days.
The stock trades at a significant discount to sales (P/S of 0.65) and book value of $2.78 per share. The company will announce earnings on February 14th. I expect the numbers will do the talking and drive the stock upward. This could be cupid's arrow!
Investors in other china stocks such as Qiao Xing Universal Resources (XING) and China GengSheng Minerals (CHGS) may want to consider buying CPSL.
The Golden Cross has taken place.......