LDK recent conference call saw earnings of 82 cents when consensus estimates were 42 cents. Revenues were 441.7 million, while estimates were 277 million. Guidance on revenue was also raised from 1.1 billion to 1.7 billion. The one downer of the conference was about margins. Margins were down from 27.7 percent to 25.4 percent. The main problem is the capability of LDK to produce more polysilicon which many companies have had troubling doing.

What is interesting here that has me favoring this stock is next quarters estimates are 41 cents. Therefore, even if LDK fails to improve on its 82 cents per share which is a big possibility, 41 cents is almost a given. Oh yea, LDK has some big big plans, check them out
here. If the plant is a success, this one will sky rocket.

BTW LDK’s chart is finally looking bullish as well

I have been following an awesome site that gives quality data about Chinese companies, especially ones listed in America. The site is China Analyst.

I am across an informative post showing the amount of short interest in Chinese stocks. Below are the top 25, for the other 75, visit the site above.

Bidu posted second quarter earnings of 265 million or 38.6 million dollars. This was an 87 percent increase in quarterly profit. The stock subsequently rose 12% in after-hours and is up about 40 points since earnings. The company was able to do what Google wasn’t, beat expectations by 3.3 million. Forecasts are also inline with analyst expectations of 136 million.

I think it’s clear why Bidu is a great long-term investment. The company has a 63% market share of search in China while Google holds a 26% share. China as a whole, surpassed the United States for the most number of internet users 2 months ago with more than 221 million now online. Yet this 221 million is only 16% of the Chinese population, this average is below world average and shows the potential for increase in Chinese internet users. The USA has about 50% of its users online. Recently, Bidu’s Hao123 and Video Search have been gaining popularity and the company has branched off into Japan.

The Olympics are coming up in less than a month and Bidu has a lot to gain from the exposure Beijing will bring it. The company expects consumers to utilize its search engine for information regarding the games and has even set up a site 2008.baidu.com as an Olympic channel. The extra exposure will not only help the company gain more domestic users and revenue through advertisement, but also allow global investors to see the potential and undeniable influence of this search giant.

BTW for those who are looking for a quick play on the Olympics, ( I don’t think BIDU is really an Olympic ‘play’) here is an informative seekingalpha article on investing in the Beijing Olympics.

Hopefully he did and is way bullish about it too. Great minds think alike, sure.  Seems like he thinks its the best fundamental and technical play of the year. Here is my original post and here is his.

CNEH - A Bright Future

Why I Bought A Stock With The Most Perfect Setup—Technical & Fundamental—I’ve Seen So Far In 2008

China Medical Technologies develops, manufacturers, and markets medical devices for the treatment of solid cancers and benign tumors in China. China Medical used to be focused on its ultrasound machines used to kill tumor cells but have recently focused on diagnostic tests such as ECLIA. ECLIA detects levels of light and looks at diagnostic markers in blood and other body fluids. This change (ECLIA and FISH) has been the catalyst for revenue growth. FISH and ECLIA make up 60% of revenues and they plan to expand from 200 to 500 hospitals by the end of the year. There has been a lot of news on diagnostic test makers such as HOLX and its clear that this field is becoming popular.
Fundamentally, CMED’s revenue was up 74% year over year. Earnings per share were also up 38% despite having to launch its fluorescent in situ hybridization (FISH) imaging analysis system.
I like CMED based on their ability to roll out new technology successfully in China. There may be better gems that can grow faster based on their size but I think CMED is still trading cheap (24PE).
Below is some technical analysis
What do you guys think about CMED’s future?