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Six China stocks set to take home Olympic gold

"The Olympics have long been a boon to stock markets of host countries," notes Tony Sagami, a leading global stock advisor with a noted specialty in Asian markets.

In his Asia Stock Alert newsletter, he notes, "I believe the chief beneficiaries of the Olympic Games will be consumer and travel-related stocks. And within these sectors, I've chosen six stocks poised to bring home Olympic gold from Beijing."

"We saw a 19% gain in the Spanish stock market in the 12 months before the 1992 Barcelona Olympics, and the 27% gain in the Greek stock market in the year before the 2004 Athens Olympics. And those countries were not growing at a fraction of the breakneck pace that China is. So it wouldn't surprise me to see the Chinese stock market do even better.

Olympic Gold Winner #1: China Mobile (NYSE: CHL):

"It seems like every person I see in China has a cell phone glued to their ear. And the cell phone is not just the primary voice communication medium in China; it is also the common way most Chinese access the Internet and email. In China, the cell phone 'is' the personal computer.

"Heck, most new high-rise condominium and apartment complexes being built in China aren't even wired for land lines. Once you understand the device's role, you'll see why China Mobile has more cell phone users (360 million) than the U.S. has people. I expect a lot of cell phone calls and text messages during the Beijing Olympics!

Continue reading Six China stocks set to take home Olympic gold

Sohu.com (SOHU): Forbes expert sees online gains in China

Sohu.com (NASDAQ: SOHU), an Internet media provider in China, is a recent featured addition to the aggressive growth portfolio of Vahan Janjigian.

The leading quantitative analyst and editor of The Forbes Growth Report explains, "Long-term growth is also promising as Internet usage expands in China." Here is the advisor's review.

"Sohu offers media content from more than 1,600 partners through 35 interest-specific channels, which cover news, business, sports, and entertainment. The website also offers tools such as free email accounts, web logs (blogs), message boards, and picture galleries.

"SOHU also runs Sogou.com, a proprietary Internet search engine; Chinaren.com, the largest online youth community in China boasting more than 80 million users; 17173.com, which provides information about online video games and has alliances with thousands of Internet cafes; and Focus.cn, a real estate website.

Continue reading Sohu.com (SOHU): Forbes expert sees online gains in China

Matthews fund combines Asia and technology

Global expert John Christy combines Asia and technology in the latest fund recommendation in his Forbes International Investment Report.

"Our latest buy is Matthews Asian Technology Fund (MATFX), which has been added to our Global Core and Asia-Pacific Portfolios. While there's plenty of uncertainty in global markets at the outset of 2008, the tech sector and Asia's economies both look well-positioned to weather the storm.

"The Matthews Asian Technology Fund gives you the best of both worlds. With $245 million in assets, the fund has delivered annualized returns in excess of 25% over the past five years. It invests in a mixture of both large-cap and small-cap companies, with varying degrees of exposure to 'technology.'

"Some holdings, like Chinese search engine Baidu.com and the Japanese social networking site Mixi, are pure technology plays, whereas Korea's Samsung Electronics and Japan's Sony fall into the more mature camp of consumer electronics.

"Telecom is also among the fund's biggest holdings, with China Mobile and India's Bharti Airtel among the top 10 holdings. That means the fund won't always deliver eye-popping returns, but it offers a bit more protection on the downside."

Each day, Steven Halpern's TheStockAdvisors.com offers the latest market commentary and favorite investment ideas from the nation's leading financial newsletter advisors.

Best Stocks for 2008: Philippines Long Distance Telecom (PHI)

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"If China is Asia's ultimate growth story, the Philippines qualifies as the region's biggest turnaround story," says John Christy, editor of The Forbes International Investment Report.

"Long plagued by political instability and disastrous economic policies, the Philippines is finally getting its act together under President Gloria Macapagal-Arroyo. Economists expect GDP growth of nearly 7% this year and foreign investment capital is pouring into the country.

"My favorite stock for 2008 is Philippines Long Distance Telecom (NYSE: PHI), which is an easy way for US investors to get a piece of the action. It is the leading provider of wireless telecom services in the Philippines, with nearly a 60% market share.

"But wireless penetration rates in the Philippines are among the lowest in Asia, suggesting considerable room for future growth before the market becomes saturated. And broadband services in the Philippines are still in their infancy.

"PHI is currently trading at 13 times estimated 2008 earnings and roughly 7 times earnings before interest taxes depreciation and amortization (EBITDA). That makes PHI one of the cheapest names in the emerging markets telecom universe. Investors in PHI also enjoy a dividend yield of more than 5% as an added bonus."

Best Stocks for 2008: Emerging growth with Malaysia ETF (EWM)

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"Everyone knows about the economic boom in China, but US investors may not be aware that several of its Southeast Asian neighbors are also growing by leaps and bounds," explains Sean Broderick, resources expert for Money and Markets.

"Take the iShares MSCI Malaysia Index Fund (ASE: EWM), our top speculation for 2008. The country's economy surged 6.7% in the third quarter, the fastest pace in three years. Exports are rocketing -- up 14.3% in October alone.

"Domestic inflation is under control. And its currency, the ringgit, is climbing. Malaysia's economy is expected to grow by more than 5% both this year and next. That's a heck of a lot better than the US is doing, and it's being fueled by strong demand for Malaysian exports.

"EWM, an exchange-traded fund, holds 56 of the top financials, utilities, and other companies operating in Malaysia, including Bumiputra-Commerce Holdings, Malaysia's second-largest commercial bank, IOI Corp., the world's largest producer of palm oil, and Genting, the largest casino and hotel operator in Asia.

"Malaysia's benchmark Kuala Lumpur Composite Index was up more than 30% year-to-date as of early December. We expect another year of double-digit gains in 2008."

Best Stocks for 2008: Global expert goes with Japan ETF (EWJ)

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"My favorite, and more conservative investment idea for 2008 is Japan -- specifically, the iShares MSCI Japan ETF (ASE: EWJ)," says Mike Burnick, editor of Global Market Investor.

"Japan has been one of the most out-of-favor major industrial stock markets over the past two years, yet corporate profits are growing at a fast pace, thanks to a robust export market. Japan's proximity to China certainly helps in this regard, as Japan has become a key exporter to China, as well as other emerging Asian nations.

"From a valuation perspective, Japan appears to be the most undervalued major market in the world right now. Many blue-chip Japanese banks and industrial firms sell at book value or even less then book.

"Meanwhile, bonds typically yield more than stocks, to compensate investors for the lack of appreciation potential in bonds. However, in Japan today the normal stock/bond risk/reward relationship is turned upside-down.

Continue reading Best Stocks for 2008: Global expert goes with Japan ETF (EWJ)

Best Stocks for 2008: Gas gains for China Natural (CHNG)

For 25 years, Steven Halpern, editor of TheStockAdvisors.com, has surveyed the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is one of 100+ ideas in the Best Stocks for 2008 report.

"My favorite speculative idea for 2008 is China Natural Gas (NASDAQ: CHNG)," says Ian Wyatt, editor of Rising Star Stocks. "The Delaware-registered public company owns and operates natural gas-related businesses in China.

"Its core business is the distribution of compressed natural gas as a vehicular fuel to retail end users and as a natural gas utility supplying over 71,000 residential customers in Lantian County, Lintong and Baqiao Districts in the City (jurisdiction) of Xian.

"Natural gas is one of the cleanest energy sources and one of China's most abundant natural resources. For this reason, the Chinese government sees compressed natural gas (CNG)-powered vehicles as part of the solution to its national environmental woes.

"For 2007 analysts estimate earnings of 38 cents per share on revenues of $33.9 million, an increase of 80% from revenues of $18.8 million in 2006. In 2008 analysts see China Natural Gas growing its earnings to 58 cents on revenues of $55.4 million, a 63% increase from the 2007 estimate of $33.9 million.

Continue reading Best Stocks for 2008: Gas gains for China Natural (CHNG)

New Oriental (EDU): Asia expert's 'best stock in the world'

Tony Sagami, editor of Asia Stock Alert, calls New Oriental Education (NYSE: EDU) – which provides English language instruction in China -- the "single best stock idea in the world."

New Oriental, he notes, recently reported quarterly results showing a 4 cent per share loss for the quarter. He notes, that while this was a 65% improvement over the same period last year, it was 1 cent profit Wall Street was expecting.

The reason for the shortfall, he observes, was that increased marketing and advertising expenses. Thus, he notes, "While all that extra spending hurt profits last quarter, it should pay off in spades down the road." In fact, he adds,
That's why revenues jumped by 29% to $24.9 million, slightly ahead of the consensus estimate of $24 million."

Meanwhile, he notes that total student enrollments in language training and test preparation courses for the quarter ending May 31 increased by 31.5% year-over-year to approximately 314,000.

Continue reading New Oriental (EDU): Asia expert's 'best stock in the world'

Symbol Lookup
IndexesChangePrice
DJIA+152.2511,384.21
NASDAQ+51.122,294.44
S&P 500+21.391,273.70

Last updated: July 09, 2008: 12:05 AM

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