Tuesday, July 8, 2014
Ying Li
Ying Li: Muted market reaction to Ying Li’s new reputable investor China Everbright strongly suggests lack of faith in the company, which seems justifiable for now.
Recent resignations of high profile management such as former CEO Ko Kheng Hwa and former COO Tan Kiang Hwee have shaken investor sentiment.
Meanwhile, generous valuation assumptions by analysts covering the stock, and fear of widespread declines in China’s real estate market, have also cast doubt on how much Ying Li is really worth.
As a silver lining, Ying Li specializes in premium high-quality office towers - a segment in Chongqing that is not plagued by excess supply.
Ying Li needs to deliver its projects and sales targets in the next 1-2 years to regain investor confidence.
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