-3x Short China Share Price (CHNS)

Details behind the rise http://www.investegate.co.uk/Article.aspx?id=201103300700128736D

http://www.investegate.co.uk/Article.aspx?id=201103300700128732D

Seymour Pierce have now confirmed that the EPS will be around 70p, i.e 10p EPS more than forecasts! GCI say this is a "good buying opportunity": http://www.growthbusiness.co.uk/news/smallcap-spotlight/1514738/chinese-bump-for-shoto.thtml "Chinese bump for Shoto Article Date: Jan 21 2011 China Shoto (CHNS), the maker of batteries and a supplier of back up batteries to China's telecom operators, has announced that reduced spending from three of its biggest telecoms customers will hit profits. In a trading update for the year-end the AIM-quoted concern remarked that a 'substantial decrease in the level of investment' made by the three major telecom operators is expected to 'adversely affect' the company's performance for the year though adding that the high levels of spending in 2009 by telecoms operators was partially driven by a stimulus package from the Chinese government. As a result Shoto announced that it expected net profits to be 30 per cent lower than last year, which has sent the share price down seven per cent this morning to 278.5p. Following the update analysts at Seymour Pierce suggested an expected earnings decline from 100p to 70p, some 10p ahead of the 60p EPS forecast it had originally pencilled in. Last recommended by Growth Company Investor at 173.5p in April of 2009, the shares have gained 60.5 per cent since, with its current price 278.5p. 2009 was a particularly good year for the company, with the record levels of sales and profits at the concern driven by the Chinese government's stimulus measures. Trading on under four times earnings, we think the market has overreacted to the news, with a fall in profits and sales on the previous year expected and that now represents a good buying opportunity. Buy/Hold"

I've bought back in here after this morning's markdown. An excellent performance in H2 has been masked by about the most badly worded RNS I've ever seen! CHNS are on track to make around 70p historic EPS or so for last year. This is a P/E of just 3.8 after today's markdown, and compares to the broker forecast of 59.7p EPS, i.e well ahead of forecasts. It also means H2 EPS alone was around 50p EPS!

There seem to be a lot of trades today, but I can't see any news. The company is generally a value stock though isn't it?