Lam Soon (Hong Kong) Limited 0411

Lam Soon (Hong Kong) (SEHK:411) reported a strong rebound in performance, with earnings growing 51% over the past year and net profit margins rising to 6.3% from 4.1%. The company’s share price of HK$11.5 is currently below the estimated fair value of HK$16.63. Its price-to-earnings ratio of 8.9x makes it more attractively valued compared to industry peers. Investors will be watching whether this increase in profitability and valuation can be maintained, especially in light of the past five...