Tuesday, March 11, 2014

************* Sunvic Chemical: Consolidating in wait of Direction. Upside breakout at 0.685

Sunvic seems like it is consolidating at the moment from 0.65 to 0.68….. resistance at 0.68 would be barrier at the moment. A break above 0.68 with volume above 6m shares by noon can see it go to 0.700 then 0.75.
Stop loss at 0.635. Monitor closely for potential trade opportunity.
 
News – 3rd March 2014
*Sunvic: 4Q13 net profit spiked 81% y/y to Rmb135.4m, while revenue accelerated 33% to Rmb1.84b. This lifted FY13 earnings to Rmb369.9m (+282%) and revenue to Rmb6.33b (+46%), driven by higher ASP and sales volume of acrylic acid & acrylate esters (AA & AE). Full year gross margin expanded to 14.8% (+2.5ppts). Management expects the long term sales contracts signed with certain major customers to underpin the high utilisation at its plants over the next few years. No dividends declared.
 

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