GURE - Gulf Resources, Inc. (Public, NASDAQ:GURE)

cervellofine

Volare libero
Registrato
30/10/06
Messaggi
6.558
Punti reazioni
194
.



Gulf Resources, Inc., together with its subsidiaries, engages in the manufacture and trade of bromine and crude salt, as well as in the manufacture of chemical products for use in the oil industry and paper manufacturing industry in the People's Republic of China. Its bromine is used in brominated flame retardants, fumigants, water purification compounds, dyes, medicines, and disinfectants. The company's bromine is also used to form intermediates in organic synthesis. Gulf Resources, Inc. also manufactures and sells chemical products, such as hydroxyl guar gums, demulsified agents, corrosion inhibitors for acidizing, bactericides, chelants, iron ion stabilizers, clay stabilizing agents, flocculants agents, remaining agents, bromopropane, and expanding agents with enhanced gentleness, which are used in oil and gas field exploration, oil and gas distribution, oil field drilling, wastewater processing, papermaking chemical agents, and inorganic chemicals. In addition, it engages in the research and development of commonly used chemical products, as well as medicine intermediates. The company is based in Shouguang City, the People's Republic of China.
 
si ricoprono, chiedo cortesia ai moderatori grazie, finviz mi ha mandato fuoristrada
 
rifiata un filino, si potrebbe scommettere e sfruttarne il momentum ora e solo ora..con stop in canna, dichiarano numeri ottimi ma c è da fidarsi poco lo si sà
 
Gulf Resources, Inc. (GURE) - Short squeeze underway

Huge volume....and a nice setup

sc.jpg
 
Shortist going to cover at high price............
 
Setting up for a Big breakout at $4. Second time should be a charm.

sc.png
 
last 1,77

confidando in una ripresa delle quotazioni, dell'indice di riferimento, se vogliono a 3$ la portano in breve tempo, stop 1,48
 
2,15 +8,04 , che succede? siparte seriamente?? avete notizie in merito??
 
Watching for a trade. Good vol today . RSI oversold. MACD crossed. Rumors that is going to private.

sc.png
 
Folks...I mentioned a few times on twitter over the past days how GURE was looking bullish to me and nothing has occurred on the chart to sway my initial thoughts, in fact, I initiated a long position in the stock this week, when it crossed its 20-day moving average. Looking at the chart, the stock has been in a short-term uptrend, making higher highs and higher lows and it has been steadily finding support on pullbacks. Result of increasing price turn shows that MFI is increasing again. MACD Histogram is confirming an up trend. The resistance of up trend which will be considered next week is defined at $2.50. This stock can pop big time on any positive news. I keep my long position in it.

Follow me on Twitter : Twitter

sc.png
 
A move on $GURE above $2.25 could spark a nice short-squeeze

sc.png
 
If GURE breaks out soon, then the bears could cover quickly sparking a big short-covering rally. I bought lot of shares at $3.12

sc.png
 
Another great chart....... short squeeze candidate ....

sc.jpg
 
Source of information : 5 stocks to watch in the week ahead

The stock was up over 5% with very unusual volume on no now news. As a result for today's trading session, its volume traded daily went to a 2-month high. Looking at the technical chart, it seems the stock broke the resistance area at $2.24 ( 50-day SMA ) and has moved decisively to the upside. That’s a powerful sign that high prices are likely to continue. Long positions may be considered on price weakness, with a stop-loss at $2.20. The next resistance it could encounter is at $2.50. Once that level is breached, the next resistance could be the 3 psychological area then 3.05. In addition, the On Balance Volume is increasing, this clearly shows that smart money is moving into the stock.

GURE.jpg
 
gulf resources

3 Reasons To Buy Gulf Resources
June 21, 2012 | 28 comments | about: GURE, includes: CHMT

Gulf Resources (GURE) is a leading provider of chemical products in the People's Republic of China. The company operates through its two wholly-owned subsidiaries; Shouguang City Haoyuan Chemical, which primarily produces and distributes bromine and crude salt, and Shouguang Yuxin Chemical Industry, which focuses on manufacturing and selling chemical products.

Elemental bromine is used to manufacture a wide range of compounds utilized in manufacturing industries and in agriculture. The company's chemical products are currently utilized in a variety of applications, including oil & gas field exploration, papermaking chemical agents, wastewater treatment chemicals, and inorganic chemicals, such as industrial refrigeration chemicals. The company has also developed proprietary pharmaceutical intermediary products that await commercialization.

(click to enlarge)

I see at least 3 reasons to buy the stock currently:

1. The stock is trading below net cash

The company has $81.9 million in cash and no debt. The company has 34.6 million shares outstanding which creates net cash of $2.37 per share. The company had positive cash flow from operating activities of $3.3 million for the first quarter.

2. The company's outlook is still positive

Based on the current business outlook, the company estimates that bromine prices, a factor with a large impact on the company's operating performance, will fluctuate between a range of RMB23,150 ($3639) per tonne and RMB30,000 ($4716) per tonne in fiscal year 2012.

Given anticipated bromine price levels, the company forecasts total revenue to range between $114.7 million and $147.3 million, and net income to range between $16.8 million and $30.5 million in fiscal year 2012.

The above forecast does not take into account the potential effect on net income resulting from expenses that may arise from potential drilling expenditures in 2012 for further testing and exploration of underground bromine water resources in Daying County, Sichuan Province.

Although we expect bromine prices to stay relatively constant and stable in fiscal year 2012 due to the continued slowdown of the economy in China, we believe the strategy of exploring more brine water resources and obtaining bromine assets through acquisitions will enable us to achieve long term growth in the future.

said Mr. Xiaobin Liu, CEO of Gulf Resources.

We have sufficient cash flow for our operating activities and will continue to look for attractive acquisition targets.

3. Demand for bromine continues to outpace supply in China

Bromine and crude salt are essential for several industries and are used to manufacture flame retardants, pharmaceuticals, pesticides, water purification compounds, dyes, sanitizers, inorganic bromides for photography and other products.

Bromine is also widely used in chemicals for oil and gas exploration, such as drilling fluids, and in 2007 Freedonia consulting estimated the market for oil field chemicals to reach $14 billion in 2010.

China is now the world's third largest bromine producer after the United States and Israel. The production of bromine is currently over 150,000 metric tons/year in China, but demand for bromine continues to outpace supply. Global bromine sales are approximately $2 billion with more than $300 million originating from China.

While the international market is large and steadily expanding, the main growth potential for bromine products is in China. China will soon become the largest papermaking country in the world, and the country's strong demand for oil and gas is expected to boost the domestic oil exploration industry, driving demand for bromine products. In addition, the demand for flame retardants for the textile, electronics, furniture, and toy industries offers significant growth opportunities for bromine manufacturers in China. In 1999 China produced only 2.5 tons of brominated fire retardants, while the output has increased to 80 tons by 2006. China's bromine production is currently only able to satisfy 80% of domestic bromine consumption.

This translates to excellent opportunities for the company as one of the country's largest bromine producers. In addition, the company continues to aggressively market its specialty chemical products, while introducing new proprietary compounds for customers in the papermaking, oil and gas exploration, agricultural, and pharmaceutical industries.

Competition

Chemtura Corporation (CHMT) is one international competitor to Gulf Resources. Chemtura is one of the three largest developers and manufacturers of bromine and bromine-based products (Great Lakes Solutions). Chemtura currently trades at P/E 10 while Gulf Resources has a P/E of 2.

I could not find other publicly traded bromine manufacturers.

Conclusion

I will be following the bromine prices with this link. The company's business outlook is valid if the bromine prices were to fluctuate between a range of RMB 23,150 ($3639) per tonne and RMB 30,000 ($4716) per tonne in fiscal year 2012. The current bromine price is RMB 20,000 ($3144) per tonne. There is a risk that the company lowers its guidance if the bromine prices were to stay at these low levels for several months.

Disclosure: I am long GURE.
This article was sent to 247 people who get email alerts on GURE.
Get email alerts on GURE »
 
Indietro