Double threat of valuation and earnings bubble in China
Morgan Stanley says pointing out that the emperor û in this case the third quarter earnings of companies listed in the A-share market û has no clothes is not easy.
Morgan StanleyÆs analysis of the third quarter results of Chinese domestic A-share market listed companies shows a significant slowdown in their earnings, which it says are still inflated by investment income and are vulnerable to more A-share market correction. Morgan Stanley notes there are two kinds of stock market bubbles û earnings-driven and multiples-driven û and the Chinese domestic A-share market is a combination of both. ôWe continue to remind investors that the A-share mark…
Please sign in or register
for free access to 1 article per month from AsianInvestor’s content and archives of over 16,000 articles.
¬ Haymarket Media Limited. All rights reserved.