It seems every low float Chinese stock has run hard except $SUGP.
Short Squeeze potential!
\-No Active dilution, they had an offering close May 13 with warrants (strike price of $5.50/share) THIS IS SOO IMPORTANT!!!
\- 4.46million share outstanding shares reflects if that offering is fully dilated
\- my understanding is the 3 million potential shares from the closed offering are locked up for a time period. I can't find a definitive answer so if you see something else please let me know
\- 15.33% of outstanding shares held short (this is a worst case scenario, in reality it is much MUCH higher)
\- CTB 234.16% with 0 shares available
\- 40mil shares were traded Friday June 5th, only 1mil today, so volume has shrunk, leaving shorts trapped.
\- closing price has increased 4 out of last 5 trading days, so margin calls are becoming more likely for shorts
\- closed above $1 today so no risk of delisting
Fundamentals!
\- Altman-Z score of 3.36
\-: SUGP’s business is driven by legal compliance. Because the Hong Kong government explicitly mandates Smart Site Safety Systems ("4S") for public construction projects, SUGP has a sticky, legally required pipeline of customers.
\- after May 12th offering, the current book value is 7.50/share. They are literally sitting on more cash from the Mat offering than their entire Market Cap.
\- recent contracts with Huanggang Port.and Civil aviation department
\- Does $192+mil in revenue a year, thats a P/S of 0.03
As always do your own due diligence.