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A reminder of what Seymour Pierce said earlier - and with results due April, and when people see the earnings growth, the strong outlook and the dividend (will be cash and maybe over 5p a share), for sure the potential for a significant re-rating is there.


"A summary of the recent Seymour Pierce note :

""Seymour Pierce reiterated its 'buy' stance for shares in for battery maker China shoto (CHNS) ahead of the company's 2008 results due to be released next month. It praised the resilient qualities of the business, noting that capital spending by the mobile operators is planned rather than discretionary. "More than 90% of China shoto’s revenue is sourced domestically. India is the sole overseas export market and accounts for just 10 million pounds of sales. Investors fearing a drop in China’s exports need not be concerned about China shoto," argued the broker. With the shares trading on a current multiple of just 2.6, the broker expects the publication of the firm's 2008 results to prompt a re-rating."

Its new base stations galore in China presently, tens of thousands going to be installed in 2009 and 2010 and 2011 and more........

This means massive new demand for new back up batteries (a la CHNS) and also the repeat business of course of replacements when old later down the line.

Three stories from the past two weeks which gives an idea of the frenzy to install new systems in the coming years.

http://www.unstrung.com/document.asp?doc_id=174019

http://www.unstrung.com/document.asp?doc_id=173883

http://www.unstrung.com/document.asp?doc_id=173650


An exciting period of sustained growth for CHNS going forward one sees.

would not touch anything chinese with a bargepole, why don't they list in their own country??? See this is being spammed all over advfn and the like, dodgy, leave well alone.

I do not condone spamming if someone is, however, they are not wrong if they are saying how exciting CHNS looks.

Dodgy ? If you can research the company and say they are dodgy one can only assume that you are a very dodgy person kate bates :) LOL

Cash dividend of what should be over 5p, over 40p of earnings, strong cash generation in half 2, strong outlook, sector undergoing a boom, exposed also to "green energy".

It has just about everything going for it.

bargepole stock anything chinese. Spammers everywhere trying to promote it like yourselves, no doubt another TAIH this pile of rubbish.

in fact i think i'll short this as obvious someone trying to pump the price up given all the weekend spamming.

TAIH was and is a pile of plop. No argument there.

This company, CHNS, is looking very good now. Wait for results kate bates and see if you can pick any holes in them.

By return, I shall keep an eye on anything you like, and return the favour. So what do you think is good kate, dont be shy, tell us please.

not this rubbish, try a search to see what i'm in instead of spamming this dead dog everywhere.

Have a read of what TMF said the other day - this is not rubbish, and you are making yourself look a total idiot by trying to say it is.

Thats your perogative though.


Extract from this link :

http://www.fool.co.uk/news/investing/company-comment/2009/03/24/stocks-so-cheap-theyre-nearly-giving-em-away.aspx

"................China Shoto (LSE: CHNS) looks like another successful and growing business. The Company manufactures and supplies batteries, mainly to the Chinese market. Its recent trading statement revealed that profits in 2008 will be ahead of market expectations and 50% higher than in 2007. There is some bank debt although it looks comfortably manageable at only 23% of the value of total tangible assets. So why does the market value China Shoto at only 2.9 times 2008 earnings, especially when there is a forecast dividend yield of 4.3% on offer?............"

why am i? It's ramped up rubbish and i suspect you are the one who has been spamming this all over advfn. Well done, the quickest way to alienate anyone from touching a share. Toodle peep.

And you continue to make yourself look an idiot.

Can you tell us why its rubbish ?

Is it because they are producing over 40pence of earnings ?

Is it because they will pay a cash dividend of over 5pence ?

Is it because the PER is around just times 3 ?

Is it because the company have said 2009 will be another strong year ?

Is it because H2 will be strongly cash flow positive from operations ?

Please shed some light or you really are making yourself look a fool and a tool when it comes to valuing companies.

BTW I do not post or use ADVFN so do not go accusing me thanks.

Building nicely, price is now up from 113p mid a few weeks back to now over 130p mid, and its still ridiculously cheap IMO :)

Couldn't agree more, and pleased to see the "slow" steady progress that surely must continue to the 2 mark (PE of around 5)

Good end to the week. Will results be next week ? They are due in April, so anytime now.

If the market can carry this optimism into the results week, then that could be just the filip we need to take this to a new trading range

Nicely up today again. With what should be well over 40 pence of earnings and a very positive outlook this should and could soon be well north of 250p levels.

Its a steal at under 10 times earnings....and that is over 400p.

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Results 28th April.

From uk-analyst.com today :-

"Seymour Pierce issued a 'buy' note on China Shoto (CHNS), the batteries company, ahead of its full year results due to be released on 28th April 2009. The broker expects the company to report pre-tax profit of 10.5 million pounds on revenues of 170 million pounds representing a rise in each of 50% and 58% respectively. The company is a major beneficiary of the cellular infrastructure spend. The broker added: "We believe the market will concentrate on the outlook for 2009 and 2010 in the context of the growth estimates for China and India. We note that Chinese first quarter GDP data is due out today. Growth of 6-7% is expected. While this is down on our December 2008 estimate of 8%, an above positive 5% number is exceptional relative to other global economies. Against this background we think China Shoto is well-positioned. China Shoto has a modest export exposure (less than 10% of sales) to India. We expect the company will update the market on trading in that territory on 28 April.