5 High-Growth Chinese Small And Mid Caps With Bullish Short Trends

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 |  Includes: DANG, QIHU, SFUN, SINA, YOKU
by: Kapitall

Do you prefer stocks in the emerging markets with high earnings growth? For a closer look at high-growth stocks, we ran a screen.

We began by screening for US-traded stocks of companies based in China for those with high earnings growth, with 5-year projected EPS growth above 15%.

We then screened these names for those with bullish trends in shares shorted, with significant decreases in shares shorted month-over-month.

Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the stocks mentioned below. Analyst ratings sourced from Zacks Investment Research.

Tool provided by Kapitall (kapitall.com). More investing ideas on Kapitall Wire (wire.kapitall.com).

Do you think these companies will meet their high growth projections? Also, Do you think these stocks will outperform like short sellers expect? Use this list as a starting point for your own analysis.

1. E-Commerce China Dangdang Inc. (NYSE:DANG): Operates as a business-to-consumer e-commerce company in the People's Republic of China. Market cap at $347.61M, most recent closing price at $4.34. Shares shorted have decreased from 6.10M to 5.55M over the last month, a decrease which represents about 1.04% of the company's float of 52.90M shares. Days to cover ratio at 5.55 days. 5-year projected EPS growth at 50%.

2. Qihoo 360 Technology Co. Ltd (NYSE:QIHU): Provides Internet and mobile security products in the People's Republic of China. Market cap at $3.78B, most recent closing price at $31.99. Shares shorted have decreased from 11.95M to 10.55M over the last month, a decrease which represents about 2.46% of the company's float of 56.88M shares. Days to cover ratio at 4.44 days. 5-year projected EPS growth at 46%.

3. SouFun Holdings Ltd. (NYSE:SFUN): Provides marketing, listing, technology, and information consultancy services to real estate and home furnishing industries in the People's Republic of China. Market cap at $510.95M, most recent closing price at $27.45. Shares shorted have decreased from 2.70M to 2.48M over the last month, a decrease which represents about 1.32% of the company's float of 16.69M shares. Days to cover ratio at 8.65 days. 5-year projected EPS growth at 27%.

4. Sina Corp. (NASDAQ:SINA): Provides online media and mobile value-added services (MVAS) in the People's Republic of China. Market cap at $3.78B, most recent closing price at $56.59. Shares shorted have decreased from 5.45M to 3.42M over the last month, a decrease which represents about 3.23% of the company's float of 62.86M shares. Days to cover ratio at 1.32 days. 5-year projected EPS growth at 24%.

5. Youku Inc. (NYSE:YOKU): Operates as an Internet television company in the People's Republic of China. Market cap at $3.68B, most recent closing price at $22.87. Shares shorted have decreased from 12.18M to 10.95M over the last month, a decrease which represents about 1.06% of the company's float of 115.63M shares. Days to cover ratio at 5.1 days. 5-year projected EPS growth at 35%.

*Price data sourced from Yahoo! Finance, all other data sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Business relationship disclosure: Business relationship disclosure: Kapitall is a team of analysts. This article was written by Sabina Bhatia, one of our writers. We did not receive compensation for this article (other than from Seeking Alpha), and we have no business relationship with any company whose stock is mentioned in this article.