CAF Stock Summary and Trading Ideas (MS China A Share | NYSE:CAF)

The Morgan Stanley China A Share Fund, Inc. (the "Fund") was incorporated in Maryland on July 6, 2006 and is registered as a non-diversified, closed-end management investment company under the Investment Company Act of 1940, as amended (the "Act"). The Fund's investment objective is to seek capital growth by investing, under normal circumstances, at least 80% of its assets in A-shares of Chinese companies listed on the Shanghai and Shenzhen Stock Exchanges. The prices of A-shares are quoted in Renminbi, and currently only Chinese domestic investors and certain Qualified Foreign Institutional Investors ("QFII") are allowed to trade A-shares. To the extent that the Fund invests in derivative or other instruments that are structured to be positively correlated and linked to China A shares, such investments will be counted for purposes of the Fund's policy as stated above. To the extent the Fund makes such investments, the Fund will be subject to the risks of such derivative or other instruments as described herein. The adviser, Morgan Stanley Investment Management Inc. (the "Adviser"), has obtained a QFII license pursuant to which it is authorized to invest in China A-shares and other permitted China securities on behalf of the Fund up to its specified investment quota of $200,000,000, as updated, modified or renewed from time to time (the "A-share Quota"). The Adviser has received an increase of $250,000,000 to its A-share Quota, of which approximately $138,000,000 was utilized through a rights offering in August 2010. There is no guarantee that the A-share Quota will not be modified in the future. Securities purchased by the Adviser and/or the sub-adviser, Morgan Stanley Investment Management Company (the "Sub-Adviser"), in its capacity as a QFII, on behalf of the Fund, are credited to a securities trading account in China. All capital gains and income that the Fund earns on investments in China A-shares are held in that account, and may only be repatriated if approved by the State Administration of Foreign Exchange ("SAFE"). There is no guarantee that SAFE will approve such repatriation. Failure to gain approval from SAFE on a timely basis could adversely affect the Fund's ability to distribute taxable income and capital gains and cause the Fund to become liable for the payment of U.S. Federal income tax. See Note F. Federal Income Taxes.

MS China A Share trades on the NYSE stock market under the symbol CAF.

As of April 19, 2024, CAF stock price declined to $12.03 with 20,844 million shares trading.

CAF has a beta of 0.56, meaning it tends to be less sensitive to market movements. CAF has a correlation of 0.14 to the broad based SPY ETF.

CAF has a market cap of $210.90 million. This is considered a Small Cap stock.

In the last 3 years, CAF stock traded as high as $23.83 and as low as $11.64.

CAF has underperformed the market in the last year with a return of -14.1%, while the SPY ETF gained +21.2%. In the last 3 month period, CAF fell short of the market, returning -2.0%, while SPY returned +4.3%. However, in the most recent 2 weeks CAF has outperformed the stock market by returning -1.8%, while SPY returned -3.5%.

CAF support price is $11.94 and resistance is $12.14 (based on 1 day standard deviation move). This means that using the most recent 20 day stock volatility and applying a one standard deviation move around the stock's closing price, stastically there is a 67% probability that CAF stock will trade within this expected range on the day.