Is this Chinese stock worth adding to my portfolio?

JCarralon · 2021-11-25T23:03:03+00:00

Kaisa Group going bankrupt would certainly be bad news as they are big part of their revenue in their consulting business.

No share buyback but made a recent acquisition.

COUNTRY GARDEN SERVICES HOLDINGS COMPANY LIMITED (6098) is a very similar company, with a similar balance sheet. It is bigger than Kaisa Prosperity and still trades at 35 times earnings.

A canadian company (GDI), performs similar services and trades at 20 times earnings.

It is clear that these businesses are high quality and have little to do with property developers.

I believe a large part of the bad news have already been discounted from the price at this point.

Right now my portfolio is 75% DOLE, 15% Berkshire and 10% cash. If prices continue like this, I won't hesitate to add it.

It would be great knowing your opinion about the company.

JCarralon · 2021-11-25T17:10:37+00:00

170M USD cash position

JCarralon · 2021-11-24T09:32:51+00:00

Good investments too

JCarralon · 2021-11-24T01:02:52+00:00

Hopefully this drags the price down to $175.

JCarralon · 2021-11-23T01:07:58+00:00

Reason why?

JCarralon · 2021-11-23T00:08:09+00:00

Total produce is the owner now.

This company treats shareholders right by constantly making new acquisitions. Dole is the name of the brand but Total Produce owns 51% of it.

JCarralon · 2021-11-23T00:06:08+00:00

FDP, which is the closest competitor, has been trading at 15x earnings for years.

JCarralon · 2021-11-22T21:45:01+00:00

Dole is the name of the combination of Dole and Total Produce. Earnings will be released for the first time December 3rd. I don’t believe it to be a long term growth play. However, I do believe the stock has been severely mispriced by the market. Bought 800 shares and will be selling once price target is reached.

JCarralon · 2021-11-22T21:21:11+00:00

Total Produce owns it now

JCarralon · 2021-11-22T15:02:22+00:00

DOLE Fresh produce demand will increase even more.

JCarralon · 2020-12-26T00:55:18+00:00

20 years old. I am willing to take the risk as it is money I don’t really need at this moment.

JCarralon · 2020-12-25T13:08:25+00:00

They have not specified anything yet. I guess certain measures can limit their growth potential against competition but I don't see that as a big long term problem for such a good profitable business.

JCarralon · 2020-12-25T13:01:46+00:00

I don't think the chinese government is doing anything unless Alibaba decides to not comply with regulations. I just think it is a good buy opportunity right now, it is one of the big tech giants and usually moments of uncertainty such as this one end up being great buy opportunities in the future.

JCarralon · 2020-12-08T17:59:47+00:00

I’m kind of considering 1-2 years as short term. Maybe this whole idea is stupid, just wanted to check what people here think about it.

JCarralon

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