SEHK:6820Entertainment
FriendTimes (SEHK:6820) Stock Looks Cheap But Earnings Quality Remains Key
FriendTimes closed at HK$0.39 on Wednesday, leaving the stock down roughly 3% over the past week and month and about 13% over three months. That muted price suggests short term fatigue. The headline from these results is different. Trailing 12 month earnings almost doubled year on year and net profit margin moved into double digits, helped by a sizeable one off gain of CN¥117.6m.
The immediate share price reaction indicates that traders are cautious. The earnings mix indicates that the real...