"before any miracle can happen to their share price, they have to settle the spring summer 2014 trade fair first n fnalise the orders so they know how much cash will be needed for the coming trade deposit etc n then plan their budget."
To be honest, if a listed company needs to finalise all the orders before being able to plan the budget properly, it probably isn't a good company to invest with.
There are many other better companies to invest with. One may not lose $$ by getting in at the lowest price, but there are opportunity costs for not putting the $$ into a better safer company.
If u ever work to do production n suppliers, u will know.
Eratat hv to place 30% of trade n tat ant is nt small.
For the autumn-winter 2013 30% trade deposit, the amt is alr RMB155.9 mil, which utilises more than 20% of their total cash. They nd to hv some cash buffer.
If i am the CEO running the same biz, i will also wait for the trade fair to be over girst so tat plan the budget.
I wonder u guys gt really read the financials carefully or not???
I read. That's why I scared.
Then I read what they are doing. I lagi more scared.
But well, dealing with suppliers isn't exactly my area of expertise at the moment, so no comments. But is it your area too? Or is it based on what was heard from Eratat?
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