China Tracker - Details for China Information Technology (CNIT)

 China Information Technology
Shares Outstanding (MRQ): 27.01 mill
New Shares / Dilution (TTM): 0.69 mill2.62%
New Shares / Dilution (since Dec 31, 2008): 3.58 mill15.29% 
Cash (MRQ): 18.17 mill83.04%
Account Receivables (MRQ): 98.80 mill451.61%
Account Receivables (Q/Q): + 6.96 mill7.58% 
Long-Term Debt (MRQ): 13.60 mill62.19%
Revenue Growth (Q/Q): 39.75% 
Revenue Growth (Y/Y): 94.05%
Net Income Growth (Q/Q): -23.10% 
Net Income Growth (Y/Y): -7.43%
EPS Growth (Y/Y): -9.79%
Net Margin (Q/Q): 13.3% (24.2%)-10.90% 
Net Margin (Y/Y): 13.3% (27.9%)-14.60% 
EPS | P/E (2 MRQ Projection): $1.390.58
CFPS | P/CF (2 MRQ Projection): $1.740.47
Price/Sales (2 MRQ Projection): 0.10
Price/Book (MRQ): 0.11
Auditor: BDO Limited
 
 Forward Projections (Fiscal Year)
EPS | P/E (Estimates updated 2010-10-31): $0.751.08
 Basic Facts and History (show more)
Reporting Type: U.S. Company (10-K Filings) 
Going Public: Reverse Merger on 2006-10-08 
Uplisting to Senior Exchange: on 2008-05-23 at $14.40 (-94.38% since Uplisting)

 Business Outlook

China Information Technology announced that its Chairman and CEO, Mr. Jiang Huai Lin, has agreed to revise the terms of his earlier $5 million loan to the Company, allowing the loan's repayment to be converted into the Company's shares. Effective August 16, 2011, the loan will be converted into 1,851,852 shares of the Company's common stock, at a conversion price of $2.70 per share, a premium of slightly over 100% of the average closing price of the Company's common stock over the prior four trading days. The loan was originally made to the Company in March 2010 as part of a note in the amount of $6 million and was not convertible into the Company's common stock. The Company repaid $1 million under the note in April 2010, resulting in a $5 million balance under the note.

"Given my confidence in the long-term growth outlook for the Company, the Company and I have approved the amendment to the loan's repayment terms. The amendment allows for greater flexibility with our Company's current cash balance, while the premium price on the newly converted shares serves to lessen the dilution to shareholders that would have otherwise occurred if the loan were converted at the current market price. Looking ahead, we will continue to manage the Company's cash prudently and in the best interests of our Company and our shareholders, while remaining focused on executing our core business strategies."

(Source: PR Newswire, 2011-08-16)

The impact from the government's continued attempts to tighten monetary policies is likely to carry on into the third and fourth quarters, and we expect this to affect our full year results. Despite the challenges of the current business environment, we believe our new business initiatives will help us offset some of the pressure and weather this difficult period. We are confident in our ability to overcome these new challenges by remaining focused on our business and executing our strategy.

(Source: PR Newswire, 2011-08-10)

We experienced some weakness in terms of signing new contracts in the second quarter this year. The reasons for this were twofold, firstly, a number of government projects have been slowed as a result of recent monetary tightening measures in China, and secondly, we have been more discerning in the contracts we sign due to previously stated efforts towards improving the quality of our earnings. We have become more selective with the profitability and accounts receivable turnover of our projects. At the same time, our Digital Display business segment contributed 35% of the contract value this quarter, which reaffirms our decision earlier this year to expand this area of our business. Despite the slowdown in our information technology contracts, we believe there will be continuing opportunities for us in both business segments.

(Source: PR Newswire, 2011-07-15)

    see all Business Outlook notes

 Analyst Coverage (show more)
2011-04-14Rodman & RenshawReiterationOutperform$9.00
2011-03-25Rodman & RenshawReiterationMarket Perform$9.00
2011-03-14Rodman & RenshawReiterationOutperform$9.00
2011-01-28Roth CapitalDowngradeSuspendedn/a
2010-11-08Rodman & RenshawReiterationOutperform$11.00

CNIT is currently followed by 3 analysts. All 3 give the stock a positive rating. The average price target is 10.00, which implies 1,134.56% upside from current price.


    see all Analyst Ratings

 Recent Financings
2009-12-07Priced$39.89 mill6.45 mill shares$6.18

 Investor Presentations
2010-06-02 (HTML)   VIEW
CNIT
Infrastructure
SCORE
10
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SAFETY/RISK SCORE
MODERATE RISK
DETAILS: Safety/Risk Model for CNIT
Current Price:  $0.81
F10k Day (2007-02-13): -93.14%$11.80
2009 Close: -93.43%$12.32
2010 Close: -92.23%$10.42
2011 Close: -36.23%$1.27
High (2012-05-07): -50.91%$1.65
Low (2012-02-02): 15.71%$0.70
Exchange: NMS
Market Capitalization: 21.88 mill
Total Shares: 27.01 mill
Float: 23,599,000.00 mill
Avg Volume: 246.60 k
Short Interest: 1.24 mill
Short Ratio: 6.74%5.0 d
Last Quarter: 2010-12-31
Revenue (MRQ): 61.22 mill
Net Income (MRQ): 8.16 mill
Op. Cash Flow (MRQ): 8.08 mill
all financial data provided without warranty