Dutton Associates Announces Investment Opinion: Sunwin International Neutraceuticals Speculative Buy Rating In Update Coverage By Dutton Associates.EL DORADO El Dorado, legendary country of South America El Dorado (ĕl`dərä`dō, –rā`–) [Span.,=the gilded man], legendary country of the Golden Man sought by adventurers in South America. HILLS, Calif. -- Dutton Associates updates its coverage of Sunwin International Neutraceuticals (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :SUWN) with a Speculative Buy rating and a price target of $.65. The 13-page report by Dutton senior analyst Stanley Ng is available at www.jmdutton.com as well as from First Call, Bloomberg, Zacks, Reuters, Knobias, and other leading financial portals Financial Portal A website that provides a variety of financial data and information, acting as an information hub for clients who are individual investors requiring timely financial news and data to make their investment decisions. . Sunwin International Neutraceuticals recently announced its financial results for the fourth quarter and fiscal year 2007 ended April 30, 2007, which were rather disappointing and were below our downward revised forecasts in January 2007. The poor financial results were attributable to decline in demand for TCM (1) (Trellis-Coded Modulation/Viterbi Decoding) A technique that adds forward error correction to a modulation scheme by adding an additional bit to each baud. TCM is used with QAM modulation, for example. and animal medicines, severe margins erosion due to increase in raw material costs and significant increase in operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. . As a result, price performance of the stock has been punished for the poor financial results. Despite the poor financial results in FY2007, we believe Sunwin is on its way to a strong recovery beginning in FY2008 for both revenue and net income. As farmers and breeders have begun slowly increasing their livestock population to normal levels, and assuming no further recurrence of avian flu avian flu: see influenza. or similar infections, sales of TCM and animal medicines will return to prior levels as government regulations have eased along with a decline in reports of avian flu. As for the Company's natural sweetener Sweetener A special feature added to a debt obligation or preferred stock to promote marketability. Notes: Warrants and convertibles are two popular sweeteners. See also: Convertible Bond, Kicker, Warrant Sweetener operation, recent reports of significant progress on penetrating the North American North American named after North America. North American blastomycosis see North American blastomycosis. North American cattle tick see boophilusannulatus. markets, shipments of OnlySweet [TM] to major grocery outlets in the US and reorders from the Company's largest customer are clear signs of increasing sales of its natural sweetener products. In addition, the commenced shipment of the 120-ton order for the much higher premium stevia Noun 1. stevia - any plant of the genus Stevia or the closely related genus Piqueria having glutinous foliage and white or purplish flowers; Central and South America genus Stevia - genus of shrubs and herbs of tropical and warm Americas from a Korean company should start making visible contributions to revenue and net income beginning in 2Q 2008. About Dutton Associates Dutton Associates is one of the largest independent investment research firms in the U.S. Its 30 senior analysts are primarily CFAs, and have expertise in many industries. Dutton Associates provides continuing analyst coverage of over 140 enrolled companies, and its research, estimates, and ratings are carried in all the major databases serving institutions and online investors. The cost of enrollment in our one-year continuing research program is US $35,000 prepaid for 4 Research Reports, typically published quarterly, and requisite Research Notes. The Firm does not accept any equity compensation. We received $35,000 from the Company for 4 quarterly Research Reports with coverage commencing on 05/08/2006. Our principals and analysts are prohibited from owning or trading in securities of covered companies. The views expressed in this research report accurately reflect the analyst's personal views about the subject securities or issuer. Neither the analyst's compensation nor the compensation received by us is in any way related to the specific ratings or views contained in this research report or note. Please read full disclosures and analyst background at www.jmdutton.com before investing. |
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