Homepage
PR Newswire
14-02-2022, 04:07 PM
Hi weijian & wj1984,
Being optimistic, I think supply chain margin squeeze might be a short term issue due to Covid-19. I believe things will get better going forward once Covid-19 issues had been resolved.
As for the loans, it is used for development of Nantong plant. Even taking the short term loan into consideration, the company is still in a net cash position. I guess they cannot sit still, and expanding their manufacturing facilities is crucial to serve its existing and new customers in the long term.
In short, yes, they are affected by Covid-19 in the short term, but their low valuation, strong balance sheet and decent dividend yield provides a base for its share price.
Being optimistic, I think supply chain margin squeeze might be a short term issue due to Covid-19. I believe things will get better going forward once Covid-19 issues had been resolved.
As for the loans, it is used for development of Nantong plant. Even taking the short term loan into consideration, the company is still in a net cash position. I guess they cannot sit still, and expanding their manufacturing facilities is crucial to serve its existing and new customers in the long term.
In short, yes, they are affected by Covid-19 in the short term, but their low valuation, strong balance sheet and decent dividend yield provides a base for its share price.