Valuation of Chinese stocks…

[vanzandt]

For no reason other than completeness, exchange rates should be included in the discussion...
Also of note IMO, is that one KC ADR (or ADS if you prefer) represents 15 shares.

https://www.nasdaq.com/articles/yua...-deviation-from-guidance-at-widest-since-2020

https://www.exchangerates.org.uk/USD-CNY-spot-exchange-rates-history-2022.html

I think those numbers reflect the 1:15 ADR however.

The FX drop is not it either.
KS is the blue line.

Something's not right though, that's for sure.
Certainly worth putting this one on a watch list, albeit as these things go, it will take a lot of volume to dig itself get out of that hole. Those top-line margins undeniably suck if they're a software company--- no matter how much money they lose.

 

[tiddlywinks]

Certainly worth putting this one on a watch list,

With a universe of thousands of equities to look at, there is no reason whatsoever to put a Chinese ADR on any watch list of mine.

However, I do enjoy keeping my research capabilities up to date.

 

[vanzandt]

With a universe of thousands of equities to look at, there is no reason whatsoever to put a Chinese ADR on any watch list of mine.

However, I do enjoy keeping my research capabilities up to date.

If they move, they move.
Tradeable opportunity if they do.
Right?
Anyway...
Here's the Sector/ Sub-sector gross margins:

https://csimarket.com/Industry/Industry_Profitability.php?ind=1011

This company is waaay out of whack.