Xingfa Aluminum (00098) for first quarter operating data is great!

Xingfa Aluminum has performed well in the past two or three days, and its stock price has regained its mark of 6 yuan. I wonder if it is related to the company’s official website to disclose the first quarter operating data great?

Liansu holds a 26.28% stake in Xingfa Aluminum, which estimates that Xingfa can provide a profit contribution of RMB 150 million to Liansu this year, which means that it estimates that Xingfa Aluminum will achieve a profit of 570 million yuan or about 670 million yuan this year. The Hong Kong dollar, calculated by the current market value of Xingfa Aluminum, is 2.65 billion yuan, and the expected price-earnings ratio is as low as four times.

Perhaps the market will think that Xingfa Aluminum is a cyclical stock, and the characteristic of cyclical stocks is that the profit fluctuates greatly with the ups and downs of the cycle. Therefore, during the peak period of the industry, the valuation will not be high, but Xingfa Aluminum has been in operation since 2012. It has achieved 7 consecutive years of profit growth, and it is estimated that there will still be double-digit growth in 2019. This cycle is really long! ?