Author: stlplace

Categories
China

Back to Panera Country

Reading Time: < 1 minute

I came back to St. Louis last night after staying in Shanghai for the last 10 weeks. The united 836 flight from Shanghai to Chicago took about 13 hours; it took another 5 hours to get from ORD to STL (4 hours stop over included). At one point during my 4-hour wait, I thought about driving from Chicago to St. Louis only takes 5 hours (300 miles). When I was in China, I heard  about the MagLev (bullet train) from Shanghai to Hangzhou. It will take half an hour if completed (100 miles), making Hangzhou more like a suburban of Shanghai.

panera bread

Continue reading “Back to Panera Country”
Categories
China Stocks

Chinese Citizen Can Buy Oversea ADRs

Reading Time: < 1 minute

(Update) Here is a Chinese article explains more details. The minimum balance is RMB 300,000 to open an account inside China. Other restrictions apply.

(Original) I was wondering why the Chinese ADRs all rose today. Although I heard the China central bank is allowing domestic bank buy oversea stocks through QDII. This MarketWatch article connected the dots for me. I think this is a small way the goverment tries to divert some money from the red hot domestic stock market, especially the B shares market.

Continue reading “Chinese Citizen Can Buy Oversea ADRs”
Categories
Stocks

Mindray, Home Inns to Report Earnings

Reading Time: < 1 minute

Mindray (meeting announcement): 8:00 PM on May 14, 2007 U.S. Eastern Time (8:00 AM on May 15, 2007 Beijing/Hong Kong Time). Dial-in details for the earnings conference call are as follows:

     Hong Kong:     +852-3002-1672
     US Toll Free:  +1-866-271-6130
     International: +1-617-213-8894
     Passcode for all regions: Mindray

Home Inns (meeting announcement): 9 PM on May 21st, 2007 U.S. Eastern Standard Time (9 AM on May 22nd, 2007 Beijing/Hong Kong time). Dial-in details for the earnings conference call are as follows:

     China Mainland (toll free):  10.800.130.0399
     Hong Kong:                   +852.3002.1672
     U.S. and International:      +1.617.213.8893

     Pass code for all regions:   HOME INNS

Categories
Business China

The Best Business School

Reading Time: 2 minutes

There are lots of rankings among B-schools. But I think the best B-school in the world nowadays is China. This seems biased because I am from China. OK how about I say India? 

Seriously, here are my reasonings: China is at its first stage of captalism. As I said in my previous post “is China imitating the US too closely?” China is learning from the west in many ways: from consumer goods to infrustructure (highways, 3G), from banking system to stock market, from Merge & Acquisition to branding & distribution, from automobiles to real estate, REIT, etc.  

IMG_4873

(Picture taken at SunIslandClub in Shanghai suburban Qingpu.)

Continue reading “The Best Business School”
Categories
Stocks

Diversify or Diworsify?

Reading Time: < 1 minute

I think for small investors like me, one common mistake is “diversify”. Wait, isn’t “diversify” the first lesson we are taught to reduce risk? Yes, but as Peter Lynch said, “diversify” could mean “diworsify” too.

For example, I have 6 stocks in my portfolio now: CROX, HMIN, MR, GSIT, NINE and SBUX. Some are winners (CROX), some are losers (NINE). Had I hold all in CROX, my return would be much better. Of course you would say I had more risk too.

Continue reading “Diversify or Diworsify?”
Categories
Business China

Starbucks Stock and China Plan

Reading Time: 2 minutes

I mean the stocks (SBUX), not the latte. I believe the “so-so” same store sales number for the Q1 is the main reason for the recent drop. The stock is still not cheap by looking at PE (37), with projected rev/earning growth at about 20%. But this is Starbucks, normally they don’t go on sale. Near term, I believe SBUX is very much relying on the developed countries (a.k.a, US) for most of its revenue. For instance, in last 6 months I saw they opening up some new stores (some with drive through) in St. Louis and other midwest cities.

Continue reading “Starbucks Stock and China Plan”
Categories
China

A Consuming Nation in the Making

Reading Time: < 1 minute

I watched an interview on China-CBN last night, the guest is a guy from McKinsey, and he is familar with the consumer trend in China. Some interesting points I took down here:

1) China is the No 4. in the world in terms of GDP; I believe China is No. 1 or 2 receipent of foreign investments. But China is about the size of Italy (No. 8 economy in the world?) in terms of consumer spending.

2) The consuming is speeding up as goverment realized this is good for the economy, as the health care and social insurance system undergoing reform, as the young generation and emering middle class realize “life is more than work and saving”, etc. He mentioned 2015 maybe a turning point.

3) Many foreign companies tend to under-estimate or over-estimate the market potential of China from time to time.

China_Trip_Part_1 057 

Continue reading “A Consuming Nation in the Making”
Categories
China Stocks

The Chinese Bubble

Reading Time: < 1 minute

The bubble is continuing to build up. This afternoon I received a call from people try to selling me stocks “We are an investment company. Have you heard about the stocks lately?” Anyone who has not heard stocks must live in the vaccum or Tibet. Stocks are talked in every gathering. I heard people become restless during the 7 days break because the market was closed. The No. 1 the question is: when will the market correct?

Continue reading “The Chinese Bubble”
Categories
Business

Sold HLYS Wait for CROX

Reading Time: < 1 minute

I sold all the remaining HLYS shares on Monday May 7 (before the Q1 earning announcement). While I enjoyed my Heelys shoes, the stock (HLYS) did not turn out to be as good as I expected. The main reason is I jumped too early (I bought it in on its IPO debut at 35 and 32). By doing this I have more downside than upside. The stock will under pressure short term because of its so-so guidance and the secondary offering.

Long term, I think Crocs (CROX) will be better investment than Heelys (HLYS). I saw more and more Crocs in Shanghai stores. While the sales in China is not significant at this time, as I said before, Crocs has wider appeal than Heelys and Under Armor (UA). Like Starbucks, eventually China market will grow and have meaningful impact to the company.

Categories
Business China

Consumer Series III: non-alcoholic drinks

Reading Time: 2 minutes

I am aware Chinese are drinking more milks, juice and soda these days. Some notable names include: MengNiu (2319.HK), Yi Li (600887.SS), both are diary makers, MengNiu is NBA sponsor, Yi Li is Beijing 2008 Olympics sponsor, and Huiyuan Juice (1886.HK).

IMG_4953 

Continue reading “Consumer Series III: non-alcoholic drinks”