Chinese automation and control systems developer HollySys Automation Technologies (NASDAQ:HOLI) continues to come along nicely. The shares are up more than 100% from when I first mentioned them on Seeking Alpha, and up more than 20% since my last write-up,
as the company continues to gain share in the Chinese industrial
automation sector and leverage growth in train infrastructure. Although
the shares are not extremely cheap (at least not on the basis of my
current assumptions), the opportunity to leverage double-digit
underlying growth in rail infrastructure and take more share in the
industrial automation market, all while growing its ex-China business,
is still pretty significant and I wouldn't be in a hurry to exit or
dismiss this story.
Read more here:
Hollysys Offsetting Weak IA With Strong Rail
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