HK/China Equity Long-Short

Osbert Tang, CFA

Osbert Tang is an equity analyst with over 20 years of experience with focuses on China transport, infrastructure, industrials and utilities sectors. He has been based in Shanghai since 2003, accumulated nearly 20 years of on-ground knowledge on the Chinese economy and financial markets, and has a wealth of contacts with China corporates and government entities. 

Osbert has received votes from top-tier institutional investors and has been a highly-ranked transport and infrastructure analyst in the Asiamoney, Institutional Investors and Greenwich surveys. In addition to his extensive experience with international investment banks including RBS, ABN AMRO (both served as Shanghai Chief Representative), Paribas Asia Equity, Maybank Kim Eng and DBS Securities, he has been a senior analyst with Moody’s Investors Service with focus on ratings of China infrastructure and related LGFV issuers. He has also worked in the area of strategic development at Sun Hung Kai Properties Limited. 

Osbert holds a BBA from the Chinese University of Hong Kong, an MBA from the University of Texas at Austin and a MSSc in Applied Psychology from the City University of Hong Kong. He was accredited with the CFA charter in 1997, and is a member of both British Psychological Society and Hong Kong Psychological Society.

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Equity Bottom-Up

<a href="https://www.smartkarma.com/entities/sitc-international-holdings" target="_blank" data-smartkarma-citation="entities:15301:1" rel="noopener">Sitc International (1308 HK)</a> is an exceptional shareholder value creator, despite its operation in a traditional volatile low-return container shipping industry. Since its listing in 2010, it has delivered a 76% profit growth, achieved a 4.7ppt improvement in ROE to 19.7% and sustained a steadily rising dividend payout ratio from 36% to 71%.
SITC's share price has increased by over 70% since its IPO, with aggregate dividends of HK$2.16 being paid, translating into a return of 10% annually over such period. Moreover, it is currently still in a net cash position. 
We believe SITC's niche market focus, sound business model and excellent management quality will sustain this trend. With projected ROE to further expand in the next two years, the stock's current valuations are inexpensive, in our view.

Sitc International (1308 HK) is an exceptional shareholder value creator, despite its operation in a traditional volatile low-return container shipping industry. Since its listing in 2010, it has delivered a 76% profit growth, achieved a 4.7ppt improvement in ROE to 19.7% and sustained a steadily rising dividend payout ratio from 36% to 71%.
SITC's share price has increased by over 70% since its IPO, with aggregate dividends of HK$2.16 being paid, translating into a return of 10% annually over such period. Moreover, it is currently still in a net cash position. 
We believe SITC's niche market focus, sound business model and excellent management quality will sustain this trend. With projected ROE to further expand in the next two years, the stock's current valuations are inexpensive, in our view.

SITC International (1308 HK): Creator of Shareholder Value