| Beijing Airport - Underperforming Shares Reach our Target Price |
8/31/2010 |
| Upgrading from SELL to HOLD as underperformance has brought the share price to our target price. |
| Tencent - Market Has This One Wrong - BUY |
8/30/2010 |
The market reacted badly to recent results which we believe they misinterpreted. BUY.
|
| LIWA - Profits Set to Double |
8/30/2010 |
Capacity expansion and a sustainable price advantage will boost profits and share price.
|
| Alibaba - Slowing Revenue But Rising Margins - BUY |
8/25/2010 |
We believe that revenue growth will slow but margins will rise. Overseas acquisitions raise risks.
|
| GA - Game Changes Ahead of New Law - HOLD |
8/23/2010 |
We are upgrading Giant (GA) to a hold - new regulations will impact them less than their competitors.
|
| Clear Media - Panel Replacement Sets Stage for Growth - BUY |
8/18/2010 |
Chinese outdoor advertising company will see solid growth after effect of World Cup and panel replacement/upgrade.
|
| VISN - Operating Metrics Improve - BUY |
8/12/2010 |
VisionChina Media (VISN) - a US-listed Chinese outdoor advertising company - is seeing improving operating metrics and outlook.
|
| SINA - Various Drivers to Growth - BUY |
8/11/2010 |
SINA has performed well since our upgrade in May - we believe the outperformance is set to continue.
|
| Tencent - Success Attracts Industry Criticism - BUY |
8/10/2010 |
Tencent's success across all parts of the Chinese internet business has attracted considerable industry backlash. We believe this only serves to highlight the company's competitive advantage.
|
| China Wireless Tech - Leading Chinese Handset Co |
8/3/2010 |
| China Wireless Technologies' Coolpad brand has made major inroads in the Chinese handset market - but is starting to face headwinds. |
| SOHU - Game Strength Supports Upside - BUY |
8/2/2010 |
SOHU continues to do well with games as well as other content - we like the business, management and stock.
|
| BIDU - Gains from Google - Raising Est and Target - BUY |
7/28/2010 |
Baidu (BIDU) has benefited from Google's issues in China - Raising estimates and target.
|
| SNDA - Chinese Gaming Co Hit By World Cup and Disclosure Issues - SELL |
7/26/2010 |
SNDA is one of the leaders in the Chinese on-line gaming space - we believe their earnings in the June quarter were more impacted by the World Cup than the market is expecting.
|
| EDU - Market is Wrong on This Stock |
7/21/2010 |
We believe the market is wrong on this stock and management team of this Chinese education company.
|
| Alibaba - Signs of a Turnaround - BUY |
7/12/2010 |
Alibaba is the largest business-to-business portal in China. Recent data point to a turnaround in business.
|
| SNDA - New Government Regulations to Hurt - SELL |
6/28/2010 |
Online gaming company Shanda (SNDA) is likely to be hurt badly by new online gaming regulations set to take effect August 1, 2010.
|
| EDU - Strong Enrollement Trends for China Educational Leader |
6/23/2010 |
This US-listed private school company in China is a leader in English education and other courses.
|
| SNDA - Players Leaving - Destructive Asset Swap - SELL |
6/8/2010 |
Chinese on-line gaming company Shanda has made corporate and product moves recently which are destroying shareholder value - SELL.
|
| YTEC - Small-cap China Computer Svc Co - Could Double - BUY |
6/7/2010 |
YTEC is showing signs of rebuilding - Shares trade near tangible book value - could double - BUY
|
| GA - Metrics Continue to Fall - SELL |
6/1/2010 |
Chinese online gaming company Giant continues to provide disappointing metrics, trends and strategy. SELL.
|
| SINA- Good Cost Controls - Oversold - BUY |
5/25/2010 |
SINA has dramatically underperformed in recent weeks - we are upgrading from SELL to BUY on good recent cost control trends and the expectation of contributions from affiliates.
|
| Tencent - Growing Presence in Gaming Supports Upside - BUY |
5/20/2010 |
China's leading instant messaging platform and a growing force in gaming has posted historically high metrics as market share grows. BUY
|
| HOGS - China Pork Co Benefits from Climbing Prices - BUY |
5/18/2010 |
Zhongpin is a leading pork processing company in China with exposure to the industry from the raising of pigs through their own retail distribution network. Our industry contacts indicate pork prices have been rising in recent weeks.
|
| CHU - 25% Downside as Fundamentals Deteriorate - SELL |
5/13/2010 |
China Unicom (CHU) is overvalued and facing continuing structural issues. SELL.
|
| RINO - Chinese Enviro Co. Well-Positioned - Governance Concerns - Site Visit |
5/11/2010 |
We recently visited the RINO facility in Dalian - While the company appears to be well-positioned and facing a period of high growth we have some disclosure concerns.
|
| BIDU - Market Share and Margins Rising - BUY |
5/3/2010 |
BIDU is the major beneficiary of the spat between Google and Beijing. The impact is already being seen as market share and margins begin to rise.
|
| CHL - Strong Mobile Internet Growth in China - BUY |
4/28/2010 |
Mobile internet usage in China is growing strongly - China Mobile is best positioned to benefit. BUY.
|
| Beijing Airport - Strong Trends but Sacrificed to Other Govnt Interests |
4/14/2010 |
|
We do not believe that Beijing Airport needs a fourth runway, but the Company will have to invest more in 2011 in order to fulfill the government’s economic stimulus packages.
|
| LIWA - Expanding Capacity to Meet White Goods Demand - BUY |
4/7/2010 |
LIWA reported strong numbers for 4Q09 and outlined their plans to expand capacity to meet growing demand for copper wire from white goods manufacturers. Expansion can be financed from cash flow. BUY
|
| Ajisen - Mgmt Meetings and Site Visits Highlight Value in Chinese Restaurant Chain |
4/5/2010 |
Site visits and management meetings in recent days have highlighted strong traffic trends but lower average ticket for Ajisen - a casual dining chain in China.
|
| CHU - Slow Growth and Margin Pressure - Maintain SELL |
3/30/2010 |
| China
Unicom added the least number of subscribers in 2009 of the three providers. The company is focused on cutting CAPEX but Operating expenses are the real problem. System integration will take time and dampen margins. 30% downside - SELL.
|
| CHA - Margin Pressure - Downgrade to SELL |
3/29/2010 |
China Telecom's margins continue to be under pressure. We believe this contraction will continue. Over 25% downside - SELL
|
| CHL - Subscriber Growth and CAPEX Control Drive CFLO Growth - BUY |
3/28/2010 |
China Mobile continued strong growth in 2009 - Adding more subscribers than the competition. The company is lowering capital expenditure and setting the stage for strong cashflow growth.
|
| Tencent - China Gaming and IM Co Grows Market Share - BUY |
3/25/2010 |
Tencent (0700.hk) continues to see strong growth in their gaming and other other internet-based services. The company owns the dominant IM-system in China - QQ. We believe Tencent is set to benefit from the departure of GOOG from the Chinese market.
|
| HOGS - Pork Prices Tumble in China - Downgrade to HOLD |
3/24/2010 |
Zhongpin (HOGS) is a US-listed pork processor and distributor in China. The company has performed well in recent years but pork prices have been falling in China in recent weeks and we believe margins at HOGS will be under pressure. Downgrade to HOLD
|
| GA - China Gaming Co Faces Margin Pressure - SELL |
3/15/2010 |
Giant (GA) faces revenue and margin pressure in 2010 - Overvalued - SELL.
|
| Clear Media - Chinese Ad Co Trades Below Book- Could Double |
3/11/2010 |
Chinese out-of-home advertising company Clear Media has completed a major initiative to replace bus shelter advertisements in Shanghai. Considerable upside for the shares.
|
| SINA - Lower Growth and Uncertainty - SELL |
3/9/2010 |
The Chinese government restricts indecent messages on internet and mobile, so that there are fewer small portal ads on sina.com.
We adjust our estimate of the rate of decline in ad revenues in 1Q10 – from 11% QOQ to 15% QOQ.
It may bring some uncertainty that Sina neither consolidated the real estate ad revenues nor added CRIC profits after operating profits.
P/E Band concludes a down side of 27% and a target price of USD30. Downgrade to SELL. |
| VISN - China Ad Co - Strong Growth - 80% Upside |
3/9/2010 |
|
During 2009 VISN’s display based market share rose to 77% in the mobile TV industry, compared to 42% in 2008.
Powered by private equity funding, the competitor Towana has not given up; therefore, we believe the ongoing price war will negatively impact 1Q10, the media industry’s weak season.
We believe our estimate of a flat EPS for 2010 is conservative, as Towana cannot bear the price war for a long period of time given its minor market share.
P/E band suggests an upside of 78% and a target price of USD9. BUY
|
| SHANDA - 30% DECLINE YTD - CLOSE TO OUR PRICE TARGET - UPGRADE FROM SELL TO HOLD |
3/3/2010 |
SNDA’s 30% share price decline year-to-date has brought the shares close to our target price – we are upgrading the shares from SELL (which we recommended in December) to HOLD. We believe the Company is now fairly valued.
|
|
