You Can’t Find Any Better Opportunity for Call Options than This Chinese Stock
Sep, 09th 04:40
Synutral International, Inc. (NASDAQ:SYUT) is one of China’s leading manufacturers of dairy-based nutritional products for infants, children, adults, pregnant women and nursing mothers. It offers its products under the brand series of “Super”, “U-Smart”, “My Angel” and “Dutch Cow”. The company’s extensive sales network covers all provinces and provincial-level municipalities in mainland China.
The recent sell-off in the Chinese stock markets has created a golden opportunity for bargain hunters looking for game-winning companies.
The consensus from several sources suggests that China’s infant formula dairy market will grow 14-15% per year to reach more than $26 billion in 2018.
The ever-growing popularity of premium, important brands will further support the value of sales growth because of higher unit prices. Synutra could benefit from this trend from 2016 and further.
The move to the city in China is a continuous stimulus for higher future demand; there will be additional growth due to a revolution in social policy. In late 2012, China relaxed its one-child policy, which could be beneficial for the birth rate and generate larger demand for quality-assured baby foods, including infant formula products.
So based on overall fundamental outlook, it appears to be a good opportunity for buying call options in SYUT stock.