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  • Commodities: Not a Flash Crash but a Fast Crash [View article]
    Of course the price of commodities will surge higher in the future, especially soft commodities.

    The only problem we face now is that a lot of speculative money is invested in silver and gold.

    Gold is a monetary metal whose price is determined by inflation, by fluctuations in the dollar and U.S. stocks, by currency-related crises, interest rate volatility and international tensions, and by increases or decreases in the prices of other commodities. The price of gold reacts to supply and demand changes and can be influenced by consumer spending and overall levels of affluence.

    Gold is different from other precious metals such as platinum, palladium and silver because the demand for these precious metals arises principally from their industrial applications. Gold is produced primarily for accumulation; other commodities are produced primarily for consumption. Gold’s value does not arise from its usefulness in industrial or consumable applications. It arises from its use and worldwide acceptance as a store of value. Gold is money.

    But with gold you cannot pay your bills or buy your fruits at the grocery, it doesn't give you dividends or interests, etc.
    May 10 04:20 PM | Likes Like |Link to Comment
  • 5 Stocks to Play Wind Energy Growth [View article]

    China Ming Yang Wind Power Group Limited Reports First Quarter 2011 Results

    Total Comprehensive Income Increased 58.6% Year-over-year, Gross Margin Increased to 26.0%, Order Backlog Increased 23.2% Year-over-year

    First Quarter 2011 Financial Highlights

    Total wind turbine generators ("WTGs") commissioned amounted to 198 units of 1.5 MW WTGs, equivalent to wind power projects with a total output of 297 MW, representing an increase of 54.7% over Q1 2010.

    Total revenue was RMB1,397.3 million (US$213.4 million), representing an increase of 38.6% over Q1 2010.

    Gross profit was RMB363.8 million (US$55.6 million), representing an increase of 76.0% over Q1 2010. Gross margin for the first quarter was 26.0% compared to 20.5% in Q1 2010.

    Total comprehensive income for the period was RMB218.8 million (US$33.4 million), an increase of 58.6% over Q1 2010.

    Basic (and diluted) earnings per ordinary share were RMB1.80 (US$0.27) compared to basic (and diluted) earnings per ordinary share of RMB1.37 for Q1 2010.

    Mr Chuanwei Zhang, Chairman and CEO of Ming Yang commented, "I am very pleased to deliver another set of robust results. In the first quarter of 2011, we recognized revenue from 198 units of 1.5 MW WTGs, equivalent to wind projects with a total output of 297 MW. Despite challenging pricing environment, our blended pricing remained relatively favorable."

    "Primarily due to a favorable mix of higher margin sales contract for WTGs commissioned during the quarter and in part to our continued strategic initiatives to reduce costs," Mr. Zhang continued, "we saw our gross margin improve to 26.0% in the first quarter, a year-over-year and sequential increase of 5.5% and 3.7%, respectively. Our continued efforts to manage operating expenses also allowed us to maintain our operating expenses-to-revenue ratio (excluding share-based compensation) at 5.3%."

    Mr. Zhang concluded, "Looking ahead, we expect the wind power market in China to continue to enjoy strong growth, due in part to the government's strong support and favorable policies. The unfortunate events at the Fukushima nuclear plant in Japan may also provide positive catalyst to the industry over the long term. With our emphasis on blending leading technology with in-house engineering knowhow, an innovative business model, focused growth strategies and our proven execution capabilities, and with over 2GW in signed contracts and another 1.8GW in bids awarded, we believe Ming Yang is well-placed to take advantage of opportunities, and to further expand its market position in the Chinese wind power industry."

    Business Update

    Order Book Update

    In the first quarter, Ming Yang entered into sale contracts for wind projects with a total output of 372 MW, including 216 units of 1.5 MW WTGs and 16 units of 2.5/3.0MW SCD WTGs, and the Company's order backlog amounted to 2,083.5 MW, consisting of 1,255 units of 1.5MW WTGs and 67 units of SCD WTGs. Cumulative signed orders since our inception amounted to 3,735 MW, consisting of 2,423 units of 1.5MW WTGs and 67 units of SCD WTGs, as of March 31, 2011. In addition, the number of orders awarded and pending contract signing amounted to 924 MW, including 583 units of WTG and 18 units of SCD WTGs, for the first quarter of 2011.

    2.5/3.0MW SCD Small Batch Production

    Commercial production has begun for our first batch of 2.5/3.0 MW SCD WTGs.
    Commercial delivery of the first batch of 2.5/3.0 MW SCD WTGs is expected to begin before the end of the second quarter of 2011.

    Business Outlook for Full Year 2011

    For the full year of 2011, the Company targets to recognize revenue from WTGs equivalent to wind projects with a total output of 2.3 to 2.4 GW. This outlook reflects our current and preliminary view based on current market and operating conditions, and may be subject to change, which may be material.
    May 10 11:40 AM | Likes Like |Link to Comment
  • Puda Coal Chairman's $12 Buyout Offer: The Most Doubtful LBO of All Time [View article]
    Alfred, personally I think the Chairman's proposal could be successful and in the end will be similar to the proposal of the CEO of CSR. If the guy has good connections with Chinese financial institutions financing is not the problem.
    May 3 09:16 AM | 7 Likes Like |Link to Comment
  • Why We're Not Selling Into High River Gold Mines' Good News [View article]
    Why this company is valued at bankruptcy level?
    Apr 28 03:36 PM | Likes Like |Link to Comment
  • Philips Electronics: A Bright Light That Will Shine Again [View article]
    You worked at NXP or Philips?

    Philips trades at a 20% discount to the sector. In
    other words, the market is now pricing in a worst case
    scenario from which I can see only limited downside risk
    and significant upside. The new plans by the new management could be the trigger that starts to push the multiples back up to historical levels. Following that, I expect the improving economy and disposal of the TV activities will lead the market to raise estimates, pushing a higher valuation to Philips.
    Apr 28 01:16 PM | Likes Like |Link to Comment
  • China TechFaith: Setting Itself in Motion [View article]
    China is rapidly becoming the world’s leader in the online games market. According to a study released by business and consulting firm Pearl Research, the online games market in China will exceed $8 billion by 2014.

    Though the Chinese gaming market experienced somewhat sluggish growth in the first part of 2010, by year’s end it had rebounded to 25 percent overall growth, reaching $5 billion in sales.

    The bright outlook for Chinese gaming is bolstered by the fact that country’s top online game companies experienced another banner year of growth in 2010, led by gaming giant Tencent, which saw revenue push $1.4 billion. Tencent was followed by Netease at $749 million, Shanda Games at $680 million, Perfect World at $374 million, and Changyou with $327 million.

    With the surge in online gaming in China, Chinese cash rich gaming companies could drive M&A activity in 2011. CNTF could even become a victim.
    Apr 28 10:03 AM | 2 Likes Like |Link to Comment
  • Royal Dutch Shell Downgrade: Fitch Got It Wrong [View article]
    Shell 1Q Adjusted Profit Soars 30% To $6.29B On Higher Oil Price

    Royal Dutch Shell today posted a consensus-beating 30% rise in adjusted profit for the first quarter as high oil prices, upstream production growth and continued cost-cutting all combined to good effect.

    "We continue to make good progress in implementing our strategy, improving near-term performance, delivering a new wave of production growth, and maturing the next generation of growth options for shareholders," said Chief Executive Peter Voser.

    The company said the clean current cost of supplies, a keenly-watched figure that strips out gains or losses from inventories and other non-operating items, was $6.29 billion in the three months ended March 31, compared with $4.82 billion in the first quarter of 2010. This was above expectations of $6.11 billion in a Dow Jones Newswires poll of nine analysts.

    Total oil and gas production was 3.504 million barrels of oil equivalent per day, a decline of 2.5% on the year due to maintenance shutdowns in the North Sea and Nigeria.
    Net profit for the quarter totaled $8.78 billion, up 60% from $5.48 billion a year ago.

    Group revenues were $114.84 billion, compared with $88.03 billion in the first quarter of 2010. Diluted earnings per share were 1.42 cents compared with 89 cents the previous year.

    Investors can look forward to two share price catalysts for RDS in 2011. First, its refining & marketing profits should remain strong and should contribute solid y-o-y profit growth for the remainder in 2011, and second, on the exploration and production side, RDS will see strong production growth from its two new mega projects over the course of 2011. Qatar Gas 4, which has just started-up in Q1, will make much more noticeable contributions in Q2 and Q3 and the start-up of Pear GTL will further lift output in 2H 2011.
    Apr 28 07:44 AM | Likes Like |Link to Comment
  • Royal Dutch Shell Downgrade: Fitch Got It Wrong [View article]
    Royal Dutch Shell plc (ADR) (Public, NYSE:RDS.A)
    Apr 27 10:37 AM | Likes Like |Link to Comment
  • 3 Companies That Will Benefit From the Peak Fish Dilemma [View article]
    Thanks for mentioning. The only problem is that my broker doesn't support the Stock Exchange of Thailand.
    Apr 21 02:53 PM | Likes Like |Link to Comment
  • 3 Companies That Will Benefit From the Peak Fish Dilemma [View article]
    I used to orginal symbol MGH.NO of the Oslo Stock Exchange but it was changed by the copywriter. Maybe he thought that U.S. investors cannot trade foreign stocks.
    Apr 21 02:43 PM | Likes Like |Link to Comment
  • 3 Companies That Will Benefit From the Peak Fish Dilemma [View article]
    Today Nutreco Posts 15.5% Higher Sales In the First Quarter

    Dutch animal nutrition and fish feed company Nutreco NV (NUO.AE) said Thursday it increased its first-quarter sales by 15.5% mainly due to higher raw material prices.

    - First-quarter revenue was EUR1.24 billion, up from EUR1.07 billion a year earlier.
    - Nutreco said it had a moderate start in Premix and Feed Specialties, but they've been improvements during the last months.
    - Nutreco said that Fish Feed performed strong in the first quarter.
    - Nutreco's operating result for Meat and Other came in lower due to higher input costs.
    - For the first half 2011 Nutreco expects the earnings before interest, taxes and amortization, or Ebita, before exceptional items to be in line with the first half year of 2010, which was EUR 84 million.
    - Nutreco provided in its trading update no net profit figure for the period.
    - Nutreco's strategy is to achieve further growth of its animal nutrition and fish feed businesses.
    Apr 21 02:59 AM | 2 Likes Like |Link to Comment
  • Heineken Should Target China, Not Latin America [View article]
    Heineken published a positive trading update over 1Q11. Revenue increased by 22% to EUR 3,591 million. Organically, revenue grew 3.6%, as a result of higher volumes, whilst price and sales mix was stable. Consolidated beer volume grew 44% to 33.8 million hectolitres, due to the first time consolidation of the beer operations of FEMSA and an organic volume increase of 5.5%.

    This was better than the market had expected. All regions contributed to the organic growth, thus including Western Europe: +0.6%. Central and Eastern Europe, volume growth was 7.3%, Africa and the Middle East 13%, the Americas 5.8%, Asia Pacific posted volume growth of 7%.

    Volume of the Heineken brand in the international premium segment grew 5.7%, reaching 6 million hectoliters. EBIT (beia) grew by over 20% on an organic basis, driven by higher volume and the realisation of ongoing cost savings. Organically, net profit (beia) increased substantially due to higher EBIT and lower interest expenses. Reported net profit in the quarter was EUR151 million. Heineken sticks to its qualitative outlook for 2011 (positive on Latin America, Africa and Asia, improving conditions in Europe and the US with cautious consumers and higher marketing spend to affect profit in the near term. Heineken does not expect the organic EBIT (beia) growth achieved in the first quarter to be indicative of its full year performance. The company reiterated its expectation of achieving synergies from FEMSA acquisition of around EUR 150 mln.
    Apr 20 05:05 AM | Likes Like |Link to Comment
  • High Euro Not Sustainable in the Long Run [View article]
    Dave, the problem is that European problems are also not short-term.

    Personally I think US problems can be solved within a 10-year timeframe. European problems go much deeper because of cultural differences (work ethics) between the countries.
    Apr 14 02:56 AM | 1 Like Like |Link to Comment
  • China ETFs Are a Great Alternative to U.S. Listed China Stocks [View article]
    I will be adding if I am almost 100% convinced a Chinese company is not a fraud. But for now I stay on the sidelines and would use ETF's to get more exposure.

    My CIL and NIV investments can go already to the toilet.
    Apr 8 06:47 AM | Likes Like |Link to Comment
  • 3 Low-Priced Stocks in Leading Sectors [View article]
    Why Artificial Life (ALIF) is securitizing their receivables?

    Selling receivables enables the firm to collect cash sooner, but the firm collects less cash because they are sold at a discount. Clearly a yellow flag.
    Apr 5 02:11 AM | Likes Like |Link to Comment