china stock digest posts
FeedPosted Sep 22nd 2009 1:30PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, ETF Investing, Stocks to Buy, China Mobile Limited (CHL)
"We're seeing tremendous opportunities in China, which should move up regardless of U.S. market gyrations," says Richard Schmidt. In Stellar Stock Alert, he offers his current favorite China plays.
In addition, Jim Trippon, editor of The China Stock Alert, discusses the latest addition to his model portfolio, China's largest life insurance company -- and one with large exposure to Chinese equities.
And finally, fund expert Jim Lowell -- editor of Fidelity Investor -- says, "Investors should be buying Chinese stocks, Hong Kong real estate and Taiwanese technology." He offers some favorite funds for China region exposure.
Continue reading China stocks and funds: Top picks from three advisors
Posted May 10th 2009 10:00AM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy
This post is part of a 12-article feature on the best bets for investing in China. To see all the other recommendations in this special report, click here.
"Shanghai-based Wuxi PharmaTech (NYSE: WX), a new addition to our model portfolio, is a bargain," says China region expert Jim Trippon.
In his The China Stock Digest, he explains, "In a nutshell, WuXi performs pharmaceutical R&D on a contract basis for paying clients; it provides services to nine of the top ten pharmaceutical companies in the world."
Continue reading Drug research boosts Wuxi PharmaTech (WX)
Posted Aug 20th 2008 12:48PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy, China Mobile Limited (CHL)
"Whenever anyone asks, 'Why invest in China?' the answer is very simple: that's where the money is, and it's where exponential future economic growth is also," says Jim Trippon.
The editor of The China Stock Digest then asks, "Will China suffers an Oympic hangover?" Here, he explains why that should not happen and offers a look at China Mobile (NYSE: CHL), which he calls the "top dog" in the Chinese wireless sector.
"The Bank of China (BOC) conducted a study of the effects of 12 Olympiads on their host countries over the course of 60 years. They found that nine of the twelve Olympic host countries suffered a decline in GDP growth in the eight years after the games.
"The key to a post Olympic slump is the size of the economy. Smaller economies like Korea suffered larger downturns after the games, while larger economies like the United States were not affected at all. In smaller economies the enormous investment dedicated to staging Olympic games created an arti?cial bubble which was followed by a slump when Olympic building booms came to an end.
"China has made one of the largest investments ever in the Olympic Games with some estimates of spending topping $40 billion. But we don't believe the capital city will go into a slump after the games.
Continue reading Olympic hangover? Not for China Mobile (CHL)
Posted Aug 20th 2008 10:00AM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy
"WuXi PharmaTech (Cayman) Inc. (NYSE: WX) provides laboratory and manufacturing services for the drug and medical device R&D process," notes China stock specialist Jim Trippon.
In his The China Stock Digest, he explains, "Because Chinese researchers receive much smaller paychecks than their Western counterparts, Shanghai-based WuXi is able to lower the cost of this research." Here's his review.
"We have often heard major Western pharmaceutical companies complain of the extraordinary cost of discovering and developing drugs.
"More costly than the laboratory infrastructure is the burden of paying for armies of highly trained, highly paid chemists, researchers, analysts and physicians. WuXi has become the secret weapon of many big name global pharmaceutical companies.
"China educates tens of thousands of engineers, chemists and technologists, and outsourcing that expertise has become a growth industry. WuXi became a leader in this trend in 2000 and has gone on to attract an impressive roster of clients.
"The firm's senior management team consists of Ph.D.s and MBAs with experience in drug and medical device R&D. Wuxi management has more than 200 patents pending or granted, and has published more than 800 scientific publications.
Continue reading WuXi (WX): A 'secret weapon' in global drug research
Posted Jul 28th 2008 2:30PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy
"Since 2002, Macau has become a gambling mecca like no other, even Las Vegas" says Jim Trippon, who looks at Melco Crown Entertainment (NASDAQ: MPEL).
In his specialty newsletter, The China Stock Digest, he explains "Simply put, the Chinese love to gamble, and the combination of their new freedoms and new wealth have uncorked a gusher of revenue."
He explains, "Melco has delivered industry-beating earnings growth in the booming Macau gaming, entertainment, and hospitality industries. The company's recent reorganization has lifted it from a loss to profitability. Net revenue for the first quarter of 2008 was $482.9 million, up from $179.8 million in the fourth quarter of 2007. That's a 267% jump!
"Net income for the first quarter of 2008 was $43.2 million, compared with a net loss of $36.5 million in the fourth quarter of 2007. In a few short months the company's key asset, Crown Macau, has become the busiest casino in the world in gaming volume.
"Macau's government announced in April that it would rein in the booming gaming industry by halting the issue of new licenses and by freezing land allocations for the construction of more casinos.
Continue reading Melco Crown (MPEL): Gamble on Macau
Posted Apr 4th 2008 12:10PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Commodities, Oil, Suntech Power Hldgs ADS (STP), Stocks to Buy, Green Stocks
"Suntech Power Holdings (NYSE: STP), one of our long-time favorites, is now back on our buy list after being driven down in price by U.S. market volatility and the fallout from a recent earnings report," notes Jim Trippon.
The editor of The China Stock Digest explains, The company is world leader in the manufacture of photovoltaic solar cells and solar electric systems. And, it is developing a new technology to increase solar efficiency." Here is his review.
"The company's solar cells are used to supply power to the electricity grid within China, and it's the number one company in the Chinese solar energy industry. The company's systems also provide dependable power internationally for mobile phone networks and telecommunications relay stations and even street lamps in case of power outages.
"Certainly China is in desperate need of clean renewable sources of energy. Residents of major cities like Beijing and Shanghai are constantly enveloped in a choking cloud of smog. Beijing has said it wants a tenth of its energy to come from environmentally friendly sources by 2010.
"The problem with solar energy has always been the high cost of manufacturing solar cells relative to the amount of power output per cell. Suntech is attacking that problem with rigorous cost control and the competitive advantages that low cost Chinese manufacturers enjoy in the international arena.
Continue reading Suntech Power (STP): A 'new technology' for solar
Posted Dec 29th 2007 3:40PM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy, Best Stocks for 2008
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.
"Our top speculative idea for 2008 is China Direct (ASE: CDS)," says Jim Trippon, editor of The China Stock Digest. "China Direct is an aggressively expanding US-based firm that has grown exponentially over the course of the past year -- from a start-up with meager profits to a thriving concern with a sharp revenue growth curve. Share prices are following suit.
"China Direct's management division acquires controlling stakes in Chinese companies and then provides investment capital and active management. Its consulting division assists other companies in China and the US in establishing and maintaining a presence in the US capital markets.
"The company says that, as a direct link to China, it serves as a vehicle allowing investors to directly participate in the rapid growth of the Chinese economy in a diversified and balanced manner.
Continue reading Best Stocks for 2008: China stock guru speculates on China Direct (CDS)
Posted Dec 20th 2007 11:35AM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Japan, Stocks to Buy, Best Stocks for 2008
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.
"Our top conservative stock idea for 2008 is Focus Media Ltd. (NASDAQ: FMCN)," says Jim Trippon, editor of The China Stock Digest. "Founded only four years ago, Focus Media now calls itself China's largest out-of-home media company; it has blanketed China's first and second tier cities with tens of thousands of display ads.
"Focus Media is growing powerfully on the strength of a rapidly expanding out-of-home advertising business in a booming economy. With revenue growth in all of its corporate sectors expanding at approximately 100% year over year, this company is delivering unprecedented profitability.
"With the Beijing Olympics approaching, we expect an extra surge in out-of-home advertising revenue and demand. The company is aggressively pushing its pricing to the market's tolerance and expanding its network. 2008 should be a banner year for Focus Media.
Continue reading Best Stocks for 2008: China expert focuses on Focus Media (FMCN)
Posted Nov 20th 2007 10:40AM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Stocks to Buy
"We're excited about the prospects for participation in the dynamic Hong Kong stock market through the iShares MSCI Hong Kong Index (ASE: EWH), our latest new buy," says Jim Trippon.
In his China Stock Digest, the advisor explains, "The ETF provides us with access to the Hong Kong Exchange's best equities, stocks which are usually inaccessible to foreign investors."
"This exchange-traded fund provides many of the benefits usually attributed to a mutual fund without the high expense ratio that some funds charge. As an ETF, the shares can be bought and sold as quickly and easily as any stock on the New York Stock Exchange.
"EWH uses a 'passive' or indexing investment approach, which attempts to approximate the investment performance of its benchmark index compiled by Morgan Stanley Capital International (MSCI).
"The EWH Fund does not match exactly the high-flying and well-known Hang Seng Index, which continues to set records, topping the 30,000 mark in October. In tracking the Morgan Stanley Capital International Index, EWH is based on a portfolio of large cap, value-oriented equities.
Continue reading Hong Kong ETF (EWH): 'Dynamic' potential
Posted Oct 21st 2007 9:10AM by Steven Halpern (RSS feed)
Filed under: International markets, China, Newsletters, Commodities, Oil, Stocks to Buy
Jim Trippon, a leading expert on China, conducts his research from offices in both the U.S. and China. The editor of the China Stock Digest explains, "We recently issued a buy recommendation on Yanzhou Coal Mining (NYSE: YZC) and since then, the stock has been sizzling."
The advisor notes, "Industrial production in China continues to rise even faster than the increase in the nation's GDP. Yanzhou Coal is benefiting from a number of developing trends that give us confidence in higher valuations for this company. Unlike many other staple resources, coal prices are not strictly capped by the government, and prices are being squeezed upward by both supply and demand.
"Coal is by far the most important fuel for generating stations. Yanzhou Coal is an industry leader because of its proximity to the industrialized eastern region of China. In addition to being close to major industrial markets, the company operates a number of rail lines, giving it priority in its access to steel and power generation markets.
"Record high oil prices will continue to push the demand for coal. We believe Yanzhou Coal is uniquely positioned to continue to reward investors with stable growth and dividend returns.
"The company saw annual earnings per share growth of more than 100% over the past 12 months compared to the same period a year ago, justifying the estimated P/E ratio of 17. Yanzhou returned a dividend of 1.5% for the trailing 12-month period."
Each day, Steven Halpern's TheStockAdvisors.com features the latest investment commentary and favorite stocks of the nation's leading financial newsletter advisors.
Posted Sep 20th 2007 10:55AM by Steven Halpern (RSS feed)
Filed under: Google (GOOG), China, Newsletters, Bargain stocks, Stocks to Buy
China stock expert Jim Trippon recently issued new buy recommendation on SINA Corp. (NASDAQ: SINA), which operates four Chinese-language web portals.
In his China Stock Digest, the advisor says, "We believe that SINA has a degree of diversity, brand strength and earnings growth potential that puts it ahead of the competition."
Trippon explains, "We believe SINA is uniquely positioned to rise in profitability with increasing web penetration in the Mainland and beyond. SINA Corporation is in the ambitious business of bringing Chinese language web access to Greater China and the rest of the world."
SINA, he notes, operates four Chinese-language web portals, serving the PRC, Hong Kong, Taiwan, as well as Chinese-speaking people in North America. The company has more than 230 million registered users worldwide and 600 million daily page views.
Continue reading SINA: Web portal profits in China
Posted Jul 25th 2007 1:35PM by Steven Halpern (RSS feed)
Filed under: China, Monster Worldwide (MNST), Stocks to Buy
For those unfamiliar with the Chinese job search and placement company known as 51job (NASDAQ: JOBS), China stock expert Jim Trippon explains, "We consider this oddly-named company something like a Monster.com (NASDAQ: MNST) on steroids!"
The company, he notes in his China Stock Digest, connects millions of Chinese job seekers with tens of thousands of companies through a variety of services. In addition to its Internet portal, 51Job publishes the 51job Weekly, which the advisor points out is a leading employment paper distributed in more than twenty-three major cities throughout China. Each edition is included as an insert in local newspapers carrying both local job listings and advertising.
Trippon explains, "51job was a hot IPO when it hit the market almost three years ago, but it fell from its early peak of almost $55 a share when realistic earnings expectations set in. The company has been rising through 2007 as its profit picture has improved. The company beat Wall Street earnings estimates in its most recent quarter with revenues of $26 million. 51job is also predicting increased earnings per share in the coming quarter."
With a market cap of $517 million and a forward P/E of 25.5 he notes, the company is "priced for growth." As such, the advisor is adding the stock to his model portfolio.
Each day, Steven Halpern's TheStockAdvisors.com features the latest investment ideas and market commentary from the financial newsletter community.
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