Chimin Sang

How Apple and iPhone Blew It in China

Certainly Chinese government and the China Mobile did not make it easy for Apple to have the right strategy in China. Apple, though, failed miserably for years in having a right strategy in China.

Shaun's article is very insightful. I thought Wifi was the big thing besides price, but Shaun's Part I changed my opinion.

DJIA = A Very Dangerous Index

This fact is known for long by the market participants, but it is still cool to see the numbers.

Gannett Is Undervalued

I don't think you get the accounting right. A company DOES NOT gain tax benefit by writing down goodwill.

If there were such a rule, all companies would like to exercise their 'right judgement' to write down goodwill to gain tax benefit. This would be a wrong incentive IRS send out to the companies. Of course, I know the rule by fact. I am giving you a scenario to show the absurdness of such a rule.

John Meriwether Is Back - Risk Must Be Too

At least the investors should have the right expectation this time. John Merriwether is honest about his strategy; it is a fair deal.

Is Lihua International Cooking Its Books? Part II

My final addition to this article to quantify how high the CCA sell price can possibly be.

en.smm.cn/shtoday_pric...

This site lists the oxygen free copper wire price in China, which should set the ballpark of the upper limit for CCA wire, knowing that copper is 3 times more expensive than aluminum, and CCA is used as a cheaper substitute for copper wire.

The site shows the current oxygen free 3mm copper wire is 51450 RMB/ton, equals $7,566/ton. After assuming a generous 30% margin for the drawing, the upper limit for fine copper wire, a superior product to CCA, is $9830/ton. The enamelled wire has maximum at $11,023/ton.

How can the CCA per ton price higher than $14,360/ton remains a big question.

Is Lihua International Cooking Its Books? Part II

Bump5,

My analysis did not involve any engineering knowledge, no derivatives or integrals. All of the analysis is accounting.

If I had posted this article after you sold your long position, you would not be the one here to complain, would you? You would be the one here laughing your ass off for the poor long holding your LIWA share at a higher price, wouldn't you?

The overall social value created by this article to save the loss from the potential fraud by this article is on the order of hundreds of millions of dollars. I am getting a tiny tiny portion from the social value created, how wrong am I?

Sorry that you happen to be the last fool, but that is the game you have chosen. Being an investor, you were not responsible for your own investment by not doing enough homework.

Is Lihua International Cooking Its Books? Part II

User 344233,

Look, if I am wrong, I am the one to lose, and you are the one to gain. Is it fair?

Is Lihua International Cooking Its Books? Part II

Thanks to Bill Simpson and "Big Boss". Your following is encouraging me.

It is hard to have to come to the conclusions that I had, but numbers do speak for themselves. I feel sorry for my fellow Chinese if this proves to be accounting fraud. I hope innocent investors get less hurt with this article.

Is Lihua International Cooking Its Books? Part II

Stockgod,

You seem not able to understand how a business works and how to reading financial statements. Your lack of knowledge can be fixed by visiting this definition: www.investorwords.com/...

According to your logic, Enron was really a nice company before 2000 -- their stock price rose to as high as $90. Would you like to understand what 'brutal' means? Hold on to LIWA.

Is Lihua International Cooking Its Books? Part II

Stockgod,

This article is meant to be brutal because this company has been brutal to the secondary market investors.

Construct a Hedged Position with Shanda Interactive and Shanda Games

Ginger,

SNDA's carve-out of GAME is very well thought out. The real purpose of this transaction goes way beyond stock prices of GAME or SNDA. What appears to be an IPO for Shanda Games is actually to tap into the capital market to fund some bold transactions in the content business, which would not make its own way into the IPO market.

Lihua International (LIWA): An overvalued stock?

Yoyo, thanks for your feedback.

LIWA is an interesting firm from a business perspective. You are the ultimate safeguard of your own investment. This is as much as I can say.

Shanda Games Spinoff: Good Move for Shanda Interactive

Use cost to the related party divided by revenue in the income statement.


On Sep 29 02:43 PM IJR wrote:

> Interesting article. Where do you find the info on GAME paying 20%
> of revenue to use the SNDA platform? In the filings, I see reference
> to a 15.5% service fee, and also a variable percentage on sales of
> the debit cards. Thanks for any further information.

Investors Vote 'No Confidence' in TCM's Management

Good article.

When you go to your dentist, you don't want to hear that your dentist can sell you some of his massage skills.

In comparison, Simcere CFO did a much decent job for his part. He moved all the IPO proceeds into RMB, leaving only 3M USD behind. He also invested some of the cash into fixed income investment vehicles that mature within one year. Because of his work, SCR was able to record about 1.5 cents per share out of finanical transactions due to higher than expected exchange profit and interest profit.

12 Reasons I Believe In TCM

First, have you confused 'Tongji' with 'Tongren'?
Second, how does old brand help? Do you know what happen to old enterprise? They die.