3 new IPOS within the next few days.

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Check them out here. Look for those whos status is registered.

Did a quick scan of Marco Polo and ARA's prospectus. Their cashflow for the past year is good. Decent earnings. Marco Polo has a nice 12x PE while ARA's is a bit on the high side. PE is a commonly used financial ratio used for fundamentally analysis. Basically it is the price to earnings ratio. The amount of money people are willing to pay for $1 of your share. You can read up more here.

If you have noticed, there is a similar item in their competitive strength, actually this is very commonly used in most IPO prospectus. This is more like a norm that most companies will place in their report rather than a competitive advantage. Now, what you should look for is each of their individual's board of directors' profile. Education wise, it does not matter much as they are already holding a position in the board of directors which is already good enough. More precisely, what you should look out for is whether they are in any of the major public committee, say a member of parliament etc. Below is an example extracted from Cacola's prospectus.

Mr Chau is a member of Dongguan City Committee of the (Chinese People’s Political Consultative Conference of Dongguan City) and the (Vice-Chairman of Changping Commercial Association).

Needless to say, we do not know how credible is this or rather hows the status of the committee is, hence one should do his own due diligence via the Internet or any other sources.

Of course the usual disclaimer applys here, PE ratio and board of director's profile are just 2 of the many analysis that people use. Apply them wisely.

Anyway, as mentioned in previous few posts, IPO are mostly based on market sentiments as proven for this year. I will only hold those fundamentally strong IPO, else I will just cash out on the 1st day's trading.

Rokko IPO commenced its trading today and first day closing was a nice healthy 36% gain. Not surprising as its share price was trading at a low $0.25 which is a good price for some speculative plays for all (market aunties uncles etc).

Alright, got a bad flu today and shall take a rest before I do some mugging later at night (If I am strong enough).

 
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