Elevator Pitch
I maintain my Neutral rating on Hong Kong-listed Chinese online literature platform operator China Literature Limited (OTCPK:CHLLF) (OTC:CHLLY) [772 HK].
This is an update of my prior article on China Literature published on June 22, 2020. China Literature's share price has increased by +4% from HK$52.50 as of June 19, 2020 to HK$54.45 as of September 4, 2020, since my last update. China Literature trades at 31.8 times consensus forward FY 2021 P/E, and 4.2 times consensus forward FY 2021 enterprise value-to-revenue.
China Literature's 1H 2020 financial performance was