Comments on: HMIN: Home Inns & Hotels Management Stock Analysis

By: CTRP: 3 Profitable Tourist Trends for 2008 Beijing Olympics

CTRP: 3 Profitable Tourist Trends for 2008 Beijing Olympics — Mon, 02 Jul 2007 11:01:45 +0000

[...] my first post, we talked about Home Inns & Hotels Management Inc. (HMIN), and expounded upon HMIN’s hotel expansion projections and profit potential from [...]

By: How to Invest in 2008 Beijing Olympics

How to Invest in 2008 Beijing Olympics — Mon, 02 Jul 2007 02:02:15 +0000

[...] Inns has been on my watch list ever since January (Read my HMIN January Stock Analysis) because I was impressed with the Chinese Hotel chain’s fast growth and revenue [...]

By: Chinese Stocks 2007 Series

Chinese Stocks 2007 Series — Sat, 12 May 2007 20:23:16 +0000

[...] 2. Home Inns & Hotels Management (HMIN) [...]

By: Watch List Additions: CTRP, DROOY, URME

Watch List Additions: CTRP, DROOY, URME — Wed, 04 Apr 2007 11:57:43 +0000

[...] Olympics, which will drive consumer spending on travel booking services in China. Another good Chinese hotel accommodations stock is 2006 IPO of the Year, Home Inns & Hotels [...]

By: TJP

TJP — Tue, 09 Jan 2007 07:53:56 +0000

I noticed the high PE ratio, but that seems to be one of the problems with mid cap growth stocks. You tend to overpay for them, especially when they’re trading near 52- week highs.

Since the company has grown so quickly, I expect they will surpass 15% earnings growth next year. 2007 looks very bright for inter-China travel.

Let’s wait and see.

By: stlplace

stlplace — Thu, 04 Jan 2007 23:59:06 +0000

Home Inns� (HMIN) stock traded above $40 for the first time today Jan 3, 2007. Since its debut on Oct 26, 2006, the stock almost doubled from its first day close price (about $22.50). From traditional valuation point of view, this is a bit insane. As a stock holder I am also nervous about such a fast run. So�why don�t we do a little PE price earning ratio analysis on this one. Let�s assume it closes at $40 today. The company earned $0.12 in the first half of year 2006, 0.10 in 3rd quarter (non GAPP, exclude one time share based compensation), and let�s say it will make $0.12 for the 4th quarter, which is quite reasonable. 40 divided by (0.12+0.10+0.12), and it�s equal to 117. This is high compared to Google, or Apple. But note the company is growing at more than 100% year over year and we can expect that trend to continue for a few years.

Note: as rule of thumb (or finger), the PE ratio should not exceed the growth rate too much. Say, for a PE 15 company, we expect it grow 15% year over year.

By: TJP

TJP — Wed, 03 Jan 2007 09:45:10 +0000

PTR shares look cheap now, especially with that 0.41 PEG ratio.

Let us know at what price you entered your position. I like this stock a lot, and would appreciate your direct insight on the company.

By: ??? ???

??? ??? — Tue, 02 Jan 2007 21:54:24 +0000

I can just agree to your last sentence “I�m more afraid of missing the �boat� rather than entering a position at a high price.” This in mind I stocked up PTR. Altough not a secret tip I believe in a rising oil price and a shift from US to European and Chinese stocks.