Bodisen Biotech Share Discussion Threads

[aerotus] 17/11/2006 13:16

hey miamisteve - I'm looking to get a role in equity research. Would like to ask you for some advice. Could you please email me at [e-mail]

I'll respond this weekend. Thanks!

[miamisteve] 17/11/2006 10:49

The reveiceables are $20m. That has to come right down next quarter. My feeling is that they will no longer be able to be so gung ho with credit, probably a good thing, and growth next year will moderate. All depends on Xinjiang deal, which will raise revenues by 90%.

[kellerfong] 17/11/2006 10:37

sweetmonkey, agree with you. people get easily manipulated by news, and get paranoid. psychologically, u think it operates on far side of the world, to tell u the truth, the world is very very small now, not much difference. people think they operate the same way and don't have economists and dont' speak the language as they did in Mao's era. our generation doesn't even know him well. there might have slightly different accounting system, but i won't say it is cheating. they have sound relationships with their suppliers and they know better than us over there. they know they have accounts receivables better than us. americans can be dishonest, and definitely not diplomatic, no way they could sabotage a profitable company backed by government in china, no chance at all. dont get panic.

[spikers] 17/11/2006 10:17

If you believe the Co is fundamentally in good shape, now is the time to buy the shares.

Herb is known to collaborate with analysts, who are directly linked to Hedge Funds and when these guys decides to short attack a Co, its usually on a lot of fronts ending with a number of lawsuits.

While lawsuits are irritating, they have almost no effect on the operations and in 99% of cases they will be dismissed in 12 months time.

Costs to the operation are peanuts.

[donaferentes] 17/11/2006 10:15

On fundamentals, allowing a slower 4th quarter (end of harvest etc) to take earnings from Q3 65c to 80c for the full year, this is trading on a PE of 6.0 (or >5.0 if you strip out the $15m cash on the BS at end of last 1/4). With growth of over 50% this is a PEG of 0.12. Will growth be less than, say, 25% next year? Net assets are c. £1.80 = 70% of share price at today's price.

The lawyer Kahn (I'm sure there is a more apppropriate spelling!) seems wholly opportunistic as only the Americans can be when presented with a piece of moral high-ground to capture under the public gaze. If x% of US shareholders sign up and place say $1,000 on deposit with him, how much will he make without ever bringing this to court? Only 5% of Americans have passports and I doubt if as many as that can spell the word xenophobia. I work for a US company - their unswerving fear and aggression towards anything foreign never ceases to leave me breathless.

Have the comapny lied about their revenues and profits? - no evidence. Have they lied about the quality of their products? - perhaps as regards a Western understanding, but seems not as regards their actual market's understanding.

A few stock market rules may have been broken, but what real loss has been caused to the value of the company, other than self-fulfilling drop in share price caused by the very moral high-grounders who would seek to attack it.

Could this be a shorters' conspiracy to allow a hedge fund or two to pick this up at a massively underpriced SP? Seems far-fetched, but possible. Or is it sheer stupidity on behalf of the moral majority?

Very tempted to enter at this price. Will watch carefully and research more thoroughly over the weekend.

Good luck all holders - must be right to hold tight now, having come so far already.

PS. The $8m receiveables, not to mention the $4m "advacnes to suppliers (out of the money at both ends of the supply chain!) is not great, but their is a reference to all debts being received within 5 months in the accounts. Needs watching though.

[miamisteve] 17/11/2006 09:19

There will be plenty more class action lawsuits, but in the end the judge will allow only one firm to proceed. I've spoken to the lawyer, who has explained the procedure.

My rough guess is that it will cost bodisen $2m a year in legal fees and indirectly perhaps $3m in loss / disruption to operations. The payout is insured and based on the average price over the 60 day period since the crash.

[narindg] 17/11/2006 08:52

wseet monkey this will go up today - it has found a bottom in the USA - it recoverd a lot yesterday all the upto the close - it will respond later today near the US opening - i nearly got in at 2.34 yesterday!

[narindg] 17/11/2006 08:20

well it was public news and they have simply confirmed it - the price is already factored in! - besides they will defend and not admit! - I am just waiting for an opportunity to get in

[pictureframe] 17/11/2006 08:01

naringdg, I thought there were rumours of lawsuits but not confirmed until now?

Why do you think it will fly?? Interested as I am thinking of taking a long position.

Thanks

[stegrego] 17/11/2006 07:58

what news? why fly?

[sweetymonkey] 17/11/2006 07:56

320p today!

[habayyut] 17/11/2006 07:54

sub 200p looks on the cards unfortunately. I was going ot buy at 400p. glad i didnt.

good luck to u all.

[narindg] 17/11/2006 07:54

news is finally out - this will fly boy should have got in yesterday - pictureframe lawsuit news has been public news for a while - where u been man?

[cimbom] 17/11/2006 07:48

Bodisen Biotech Responds to Class Action Lawsuit
NEW YORK, Nov. 16, 2006 (PRIMEZONE) -- Bodisen Biotech, Inc. (AMEX:BBC) (LSE:BODI) (website: www.bodisen.com) announced that on November 15, 2006, Stephanie Tabor, a purported shareholder of Bodisen Biotech, Inc. (the "Company"), filed a class action complaint against the Company in the United States District Court for the Southern District of New York, alleging claims under the federal securities laws. In addition to the Company, the complaint names as defendants Karen Qiong Wang, Bo Chen, New York Global Group, Inc. and Benjamin Wey a/k/a Benjamin Wei. Ms. Wang is the Chairman and Chief Executive Officer and Mr. Chen is the President of the Company. The Company understands that other purported shareholders may have filed substantially similar lawsuits in the same court, although it has not been able to confirm any additional filings.

The Company, Ms. Wang and Mr. Chen intend to defend vigorously the Tabor complaint and any similar complaints that have been filed. In addition, Ms. Wang stated: "While we regret the filing of these actions, we stand ready to respond to the allegations. Further, despite the distraction that lawsuit of this type cause, the focus of management is and will remain on the business and operations of Bodisen."

About Bodisen Biotech, Inc.

Bodisen Biotech, Inc. is a leading manufacturer of liquid and organic compound fertilizers, pesticides, insecticides and agricultural raw materials certified by the Petroleum Chemical Industry Administrative office of China (Chemical Petroleum Production Administrative Bureau), Shaanxi provincial government and Chinese government. Ranked the 16th fastest growing company in China by Forbes China in January 2006, the company is headquartered in Shaanxi province and is a Delaware corporation. The Company's environmentally friendly "green" products have been proven to improve soil and plant quality, and increase crop yields.

CONTACT: The Piacente Group, Inc.
Investor Relations:
[phone]

[pictureframe] 17/11/2006 07:30

news on lawsuits out, should see another drop imho

[sweetymonkey] 17/11/2006 07:29

I do not feel the lawsuit can go any where afterwards.

[miamisteve] 17/11/2006 02:27

Started to recover stateside before close. A positive swing of around 15%. Even taking into account reduced margins for 2007, when stripping out cash and the stock in chng. you have a forward p/e of around x2.3

The risk's though are plain to see. I have spoken to the class action lawyers and at the moment they are looking into whether they can claim on the london shares, it doesn't seem too encouraging.

[elsworth] 17/11/2006 01:06

Dodgy......need risk to be priced in before buying picks up....
Level 4 target remains at 24p

[wiganer] 16/11/2006 22:08

It all seems mightily convenient that Herb does his stuff then immediately Amex take action and a bunch of legal firms immediately launch class actions.

All seems a bit "choreographed" to me.

I do love the USA, but it's also the most dishonest country on earth. The Chinese never stood a chance against pros like that.

[va va voom] 16/11/2006 21:32

The share price in US market has picked up late afternoon and paired a lot of the loss. Maybe the bottom was reached today and it will rebound - if so then I will double kick myself for selling and capitulating at the worst possible time!

[sweetymonkey] 16/11/2006 21:16

I do not feel the class action will go any where. Those people will get nothing for this!

[narindg] 16/11/2006 21:09

should have bought a few today since the price recovered quite a bit in the USA at the close - it was only down about 9% so tomorrow could see some recovery

[va va voom] 16/11/2006 20:47

Now a third law firm issues class action law suit against Bodisen.

I read their letter of complaint with interest!

Stockholders v Bodisen Biotech, Inc.
Kahn Gauthier Swick, LLC Files Class Action Lawsuit Against Bodisen Biotech, Inc.
Kahn Gauthier Swick, LLC announces that it has filed a class action lawsuit in the United States District Court for the Southern District of New York, on behalf of shareholders who purchased, exchanged or otherwise acquired the common stock of Bodisen Biotech, Inc. ("Bodisen" or the "Company") (Amex: BBC) between November 3, 2005 and November 10, 2006 (the "Class Period"). To speak to a lawyer now to discuss your legal rights and learn how this case may help you recover your losses, please call Managing Partner Lewis Kahn toll free, 1-866-467-1400, ext. 100, or you may email Mr. Kahn with the amount you've lost at [e-mail].

Bodisen and certain of its officers and directors are charged with issuing a series of materially false and misleading statements in violation of Section 10(b) and 20(a) of the Exchange Act and Rule 10b-5 promulgated thereunder. Particularly, late on November 12, 2006, Bodisen stated that it had received a letter from the American Stock Exchange warning that it is out of compliance with certain listing standards. The exchange said it believes Bodisen made insufficient or inaccurate disclosure in public filings on its relationship with, and payments to, New York Global Group and its affiliates both prior to and subsequent to its listing on the exchange. The Amex also expressed concern that Bodisen has internal control issues related to its accounting and financial reporting obligations in the context of its relationship with the company. As a result of this shocking news, Bodisen shares have tumbled almost 70% over several trading days, falling from a high of $10.84 per share on November 10, 2006, to an intraday low of $3.93 today.

If you purchased shares of Bodisen between November 3, 2005 and November 10, 2006, you are urged to CONTACT Lewis Kahn, Managing Partner, KGS, toll free 1-866-467-1400, ext. 100, via cell phone at 504-301-7900, or by email at [e-mail] to learn about your legal rights and how this action may benefit you. For further information on KGS, please visit www.kglg.com.

If you wish to serve as lead plaintiff in this case, you must move the Court no later than January 15, 2007. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. If you would like to discuss your legal rights, you may e-mail or call KGS, without obligation or cost to you. You may contact Managing Partner Lewis Kahn of KGS direct, toll free 1-866-467-1400, ext., 100, or 504-648-1850, or by email at [e-mail]. KGS focuses its practice on securities fraud litigation, and the firm's lawyers have significant experience working on securities fraud cases that have resulted in significant recoveries for shareholders. For more information on KGS, please visit www.kglg.com.

SPECIAL NOTICE: Multiple law firms often file the same class action. However, courts will generally appoint only one of these firms to prosecute a securities fraud action on behalf of the shareholders based upon the amount of losses its "lead plaintiffs" have suffered. Accordingly, while KGS urges you to sign up with the firm, KGS also encourages you to carefully evaluate any other firm that may be competing with KGS to prosecute the Bodisen class action, should you be considering another firm. Critical components of a law firm's ability to successfully prosecute this action and obtain a strong recovery for you include the resources it will dedicate to prosecution of the case, including the number of lawyers the firm has available for the Bodisen action, AND the quality of the firm's work. To view a copy of the lawsuit KGS has filed in the Bodisen case, please visit www.kglg.com.

View the Bodisen Biotech, Inc. complaint.

edit: to read the complaint itself ->

[sweetymonkey] 16/11/2006 19:34

LeighBarton -- I agree with you no more. The Company is sound. It has been messed up unfortunately. If I had more to spare I would buy more.

I do not think AMEX will delist it.

[leighbarton] 16/11/2006 18:30

The yanks are just as unclear as to what is going on. Alot of v negative comments as one might imagine but an equal number who think the fundamentals are sound so this whole thing is overdone:

"I just went to real time filings...



There is no insider selling whatsoever- no form 4s at all. Yes, we all know there were 4M or so 144 sales, but the CEO & CFO have never sold a share from what I can see... Now, what I'd like to know is what BBC has done that's illegal. I mean yes, the accounts receivables are a problem, but other than that, I see no other problems on a fundametal level. The company has a $45M contract with the Chines Govt also. That's more than they do in a whole year. Are they going to stiff them? The company has $62M in net assets, which is $3.40/share book value. They posted $.17 for the Sept qtr on 21% higher revenues over the same qtr last year, and if it weren't for $675M in bad debt expense for the qtr, they would have shown 35% more in net income over last year( still showed 11% more over last year). Their PE is now around 5 based on $.80 EPS for 2006( they've already made $.66 for 3 qtrs. They have also said their 4th qtr will be better year over year than their 4th qtr last year.

From what I can see, this company has strong fundamentals, is growing nicely, does have receievable concerns, has a super balance sheet, and a 5 PE for 2006, and likely around a 3 PE going forward. I think it's a disgrace what the market is doing to this stock based on total inuendo that they have done something illegal pertaining to NYG, while the basic company is in great shape. I bought more at $4.47 earlier, and am averaged in around $7. My feeling is if BBC does not get delisted, and this all blows over, then the stock should come back to the $8-$10 are rather quickly. Just sickening that any company, even those that are healthy fundamentally, can be manipulated so bad. Dalton"

I guess we are not going to know until Amex either gives the company the all clear or de-lists. As I am no good as a short term trader I think I will hold on. I might lose another £7k over this, but the underlying value of the company is $3.50 (according to their accounts) so in theory there should not be much downside from where we are today!!