Elevator Pitch
Hong Kong-listed Vinda International Holdings Limited (OTC:VDAHF) (OTCPK:VDAHY) [3331:HK], a Asian hygiene company, is benefiting from both short term cyclical tailwinds and long term secular trends. Short term cyclical tailwinds refer to the recent decrease in wood pulp prices; while long term secular trends, particularly in China, include increased per-capita tissue consumption, tightening of environmental regulations, ageing population and relaxation of child birth policy.
Vinda trades at 21.7 times consensus forward FY2019 P/E, based on its share price of HK$15.84 as of July 26, 2019. Its 21.7 times forward