Sina Finance

Sheraton: continuous growth of production capacity expansion product revenue

http://www.sina.com.cn 08:31, December 10, 2007 China Securities Network - Shanghai Securities News

Sheraton:

   Sina tip: This is a research report column, which is only an analyst's personal views and opinions on a stock, not a formal news report. Sina does not guarantee its authenticity and objectivity. All effective information about the stock is subject to the announcement of the Shanghai and Shenzhen Stock Exchanges. Investors are respectfully advised to pay attention to the risks.

The company is a domestic electric light source manufacturer with a late start but full development potential. Its leading products are compact energy-saving lamp series, vehicle xenon metal halide lamp (HID lamp) series and ultraviolet sterilization lamp series. In the first half of 2007, the projects invested by the company's raised funds will reach the production capacity in succession, and the output is expected to grow rapidly next year.

Since the manufacturing cost and raw material production cost of China's electric light source products are the lowest in the world, it has become the most competitive product in the international market. With the implementation of China's energy saving policy, there will be greater market demand for energy-saving lamps in the future. The company has a leading technical advantage in the domestic electric light source industry, and the quality of its main products is at the advanced level of the industry. Now, 11 energy-saving lamp automation equipment have been put into production, which has a large production scale and capacity. In the future, the company will benefit from the huge market of government energy saving procurement and energy saving to replace traditional incandescent lamps, and the product revenue will continue to grow.

In the secondary market, the recent stock price overshoot is very serious, and the amount of decline can shrink. After two months of sideways consolidation, there was a change in the stock price last Friday. There was a big purchase order, and the stock price broke through the platform resistance of 14.25 yuan. In addition, the company's fundamentals are good, so it is suggested that investors can focus on it and track the midline.

(Xinsheng Consulting Wu Haiming)

Sina statement: The content of this article is purely the author's personal view, only for investors' reference, and does not constitute investment advice. Investors operate accordingly at their own risk.

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