Topic: How To Invest

Pat: What is your view on Boyuan Construction Group? Thank you.

Article Excerpt

Boyuan Construction Group, $3.40, symbol BOY on Toronto (Shares outstanding: 11.4 million; Market cap: $38.8 million), is based in Jiaxing City, China. The company constructs residential and commercial buildings, municipal infrastructure and engineering projects. Boyuan’s projects are mainly in China’s Yangtze River Delta region; the city of Sanya on Hainan Island; and Shandong Province. The company’s shares began trading on Toronto at $2.00 each in March 2009. Among Boyuan’s recent clients are Cargill and the Dalian Shide Group, a conglomerate whose partners include DuPont, Mitsubishi and GE. Boyuan’s current order backlog includes residential, industrial and mixed-use developments, including a five-star hotel and a project at the Qingshan nuclear plant, China’s first and largest nuclear facility. In the three months ended September 30, 2009, Boyuan’s revenue rose 64.6%, to $35 million from $21.3 million (all figures in U.S. dollars). Earnings before one-time items rose 48.7%, to $3 million, or $0.12 share, from $2 million, or $0.08 a share. China’s expanding economy and…