Quantamental Investing to beat Benchmarks

A. Stotz Investment Research

We pick stocks. We construct portfolios. All our effort is focused on how to better pick stocks and construct portfolios. We serve fund management companies, family offices, and high net worth individuals.

China Resources Gas' 2016 Results Underpinned by Robust Volume Growth; Shares Remain Undervalued

Interesting Stocks to Consider in Thailand

CEO, A. Stotz Investment Research

Dr. Andrew Stotz, CFA

Equity Bottom-Up

<ul>
<li>Good risk-adjusted price momentum, earnings on an upcycle trend, and low correlation relative to its sector</li>
<li>As the largest distributor of natural gas in China, CRG has the greatest leverage into the country’s long-term national energy policy which is focused on shifting away from coal to more environmentally friendly gas</li>
<li>Earnings are being supported by stable cost for gas and steadily rising demand due to the still low penetration rate of gas among residential customers, net profit rose 25% YoY in 1H18</li>
<li>Trades above Asian Utilities at 18CE* 3.1x PB in line with a much higher ROE and CRG has a solid balance sheet</li>
<li>Risks: Unexpected rise in gas costs or falling selling prices</li>
</ul><p><em>* Consensus Estimates</em></p>


Good risk-adjusted price momentum, earnings on an upcycle trend, and low correlation relative to its sector
As the largest distributor of natural gas in China, CRG has the greatest leverage into the country’s long-term national energy policy which is focused on shifting away from coal to more environmentally friendly gas
Earnings are being supported by stable cost for gas and steadily rising demand due to the still low penetration rate of gas among residential customers, net profit rose 25% YoY in 1H18
Trades above Asian Utilities at 18CE* 3.1x PB in line with a much higher ROE and CRG has a solid balance sheet
Risks: Unexpected rise in gas costs or falling selling prices
* Consensus Estimates

CRG (1193 HK): Beneficiary of China’s Shift to Gas

CR Gas

CRG (1193 HK): Beneficiary of China’s Shift to Gas