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When It Rains It Pours: Shares Of Chinese Umbrella Manufacturer Rise 2,700%
As mentioned previously, China’s world-beating equity rally is the gift that keeps on giving, and not just for those who are riding the inexorable, margin-fueled rally. The mania also provides quite a bit of comic relief for those of us who are, on a daily basis, inundated with hundreds of depressingly absurd Greek soundbites and hoplessly clueless central banker ruminations.
Valuations have skyrocketed in China, with the median PE on the Shenzhen sitting at a cool 108X, which looks impressive until you consider that the ChiNext trades at 133X. The siren song is in fact so alluring that some US-listed Chinese tech firms are repatriating because they feel they aren’t getting the valuations they 'deserve.'
“American investors don't understand the business model," one Chinese tech executive recently told Reuters.
One business model that’s easy to understand is that of Hong Kong-listed Jicheng Umbrella Holdings Limited. As you might have guessed from the name, the company designs, researches, manufactures and sells plastic umbrellas. That’s really all you need to know to appreciate the following chart which shows that shares have risen some 2,700% since February 13 (also note the annualized figure)...
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What bubble?
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It's all "ball-bearings" these days.
Arghhh?
18:30 CNY CPI (MoM) (May) -0.2% 0.0% -0.2%
18:30 CNY CPI (YoY) (May) 1.2% 1.3% 1.5%
18:30 CNY PPI (YoY) (May) -4.6% -4.5% -4.6%
You could have bought any time during the past 4 months and you would have a winner in your hands to sell instead of sour graping right now.
My name is PUBLICUS. Greek extrordinaire.
Isn't that Latin?
Erectus Maximus, is Latin /s
Secret to successful of China umbrella manufacturer:
Yuan wok in lein, uma su bai anbu le la. Su pu lai an di man.
http://www.cnbc.com/id/102742478
Another 3.6 billion in bailouts for Corinthian College students in debt:
US will erase student debt for Corinthian students
6 Hours Ago
The Associated Press
The federal government will erase much of the debt of students who attended the now-defunct Corinthian Colleges, officials announced Monday, as part of a new plan that could cost taxpayers as much as $3.6 billion.
Corinthian Colleges was one of the largest for-profit schools when it nearly collapsed last year and became a symbol of fraud in the world of higher education and student loans.
According to investigators, Corinthian schools charged exorbitant fees, lied about job prospects for its graduates and, in some cases, encouraged students to lie about their circumstances to get more federal aid.
Boris been gone long time.
Who the fuck cares about umbrellas?
Mrs Wong.
never underestimate chinese big mothers
same thing when gold started to crash in china hahaha
chinese culturally send way too much money to their parents and their parents are typically crazy investors or gamblers because they still can remember being starving and homeless under mao
always aaaaalways looking for buying ops
Yeah Boris is back!! I shouldn't be however, but can't seem to get enough of ZH Doom Porn
Cha-Ching! Umbrella Company
How good are the umbrellas from breaking Bankers falls from the 50th floor?....thats the REAL test
Thankfully quality is like everything from China.
Repatriating because they feel they aren't getting the valuations they deserve...
Oh, they're going to get what they deserve all right.
The collapse of this South Sea Tulip Dot Com charade is going to be one that will be told around flickering campfires for centuries to come.
Probably because that's all that's going to be left of civilization once it occurs.
There no can be acollapse, as the barriers to entry into the umbrella market areso high and so expentive. You see you no understand the Chinese way. We no carry raincoat anymore
With six thousand (percent), you get eggroll.
"It qwan always row to 5,000%! Buy Da Frucking Dwip!" - Mao Blank Fwein
HEY, ROCKY...WANNA SEE ME PULL A RABBIT OUT OF A HAT?
NOT Really.
I'd like to see you quit using Zero Hedge, as your mental connection to reality..
There's plenty of people that can help you DAV.
Pull your head out, and start listening to the free advice.
dup
dup
When monsoon ends, only fools carry umbrella.
I think you are forgeting about the US Grilled Cheese Truck http://www.zerohedge.com/news/2015-02-09/bubble-meet-25-million-grilled-...
You know Tesla has to sell around five million cars to justify its market cap.
How many fucking umbrellas does this company need to sell to justify its 5 million % annualized return?
A $100 investment would give you a $5 million return in a year!!!!
From an umbrella company???
And this isn't a bubble?!??!!
The Chinese don't give a shit what it is. They will chase anything if someone says they can get rich. From living in a factory dorm to buying Bugattis in four months.
There is also some filthy tribesman laughing all the way to the bank while he plays behind the curtain.
(deleted after reading the next guy's comment)
It's a very super advance umbrella company.
It develops anti-gravity umbrellas.
It develops personal teleporter umbrellas.
It develops space-warp umbrellas.
It develops advanced & weaponized anti-bio-organic umbrellas.
Etc, etc, etc.
It is worth trillions.
This 2700% rally is chump change.
The chinese LOVE to gamble.
Climate change is bullish.
Hong Kong revolution is spreading.
Nah, it took 48 (from '67) years, longer than American Pharoah to repeat the feat...so next one is '63.
Besides, umbres are for sunsreening in China. Every female got more than one.
Screaming buy
Sarc/
Sarc/
Everyone in China needs an umbrella to keep the soot off them when it rians.
Need to get used to it.
"Extlemely good umbrerra! Rots of rain coming too!"
When the Ka-chink umbrella companies market cap surpasses Google's in 6 months,they are planning to buy Exxon Mobile,in a straight stock for equity swap..
To be fair, every chinese female has an umbrella supply to keep the sun off their faces and to poke out the eyes of passing waiguoren. A white complexion is a huge beauty feature. They're not as ubiquitous as chopsticks but it's still a huge market. A couple of years ago I heard that an Atlanta based company exports millions of chopsticks to China every day because the South has plentiful supplies of the right wood. If you travel through China there is an amazing amount of beautiful green scenery but if you get close, the trees are all spindly and unhealthy.
I can't understand why everyone thinks this stock is overvalued. If it has been crazy this far, then who is to say it won't get even crazier?
It's the Apple of umbrella companies. MUST own umbrella. I get it.
That's the only way for the average Fuk to afford a Bentley. Don't worry, China has many ghost cities, enough for them to jump when the SHTF.
RSI a tad overbought ;-))) hahah
You know the shit storm's coming.
Buy one umbrella, get one floating dead pig for free. ACT NOW!!!
So does this mean it's gonna rain or what?