Nepstar has taken off since this past weekend. You could have bought a share of Nepstar on Monday morning for $4.45 and it closed today at $5.37. Up 21% in three days. Not bad.
Of course, I didn't recommend buying it. I took it all back at the last minute. The reason was that the first quarter's earnings and net income were below where I thought the lowest possible point existed. The reason is obvious, but I dismissed it at the time. The majority of Nepstar's drugstores are in Guangdong province. That's one of the wealthiest regions of China because the lion's share of China's exports are made there. So it has been hit especially hard during this recession.
But, that apparently doesn't matter. Up 21% in 3 days. I missed that boat. Too bad.
No comments:
Post a Comment