"We're still adding to our Chinese portfolio, and expect to be doing so for some time; this is where significant opportunities exist," says Richard Schimit.
In The Stellar Stock Alert, he reviews E-House (NYSE: EJ), noting, "While American real estate is still struggling to regain its footing, Chinese real estate hasn't experienced the same breaking bubble.
"In fact, it hasn't experienced a bubble yet. But Chinese real estate is definitely gaining in value. And the companies that know the market can really profit.
"As we move further into Chinese stocks, one that stands out is E-House (China) Holdings Limited. It's a leading real estate services company on the mainland. The company has been around since 2000 and has experienced rapid growth. It is now China's largest real estate agency.
"EJ offers more than just brokerage services, though. With offices in over 30 cities, the company also offers consulting and information services and advertising and investment management.
"On the technical side, the stock is trading above both its 50-day and 200-day moving averages. The 50-day average is above the 200-day average, indicating it's now in a long-term uptrend.
"And the stock formed a strong bottom earlier this year, giving it a good foundation for continued growth.
"We're looking at EJ as an immediate acquisition for our portfolio, with a risk rating of 5 and a long term status. We recommend you buy it up to $25 with a target price of $35."
Steven Halpern's TheStockAdvisors.com offers a free daily overview of the favorite stock picks and investment ideas from the nation's leading financial newsletter advisors.
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