China stocks and other emerging market plays are nothing new here, but I was surprised to see how many BRIC (Brazil – Russia – India – China) stocks placed in this week's IBD 100.
The IBD 100 is a list of technically and fundamentally leading stocks generated using the Investor Business Daily's proprietary techniques. While the exact formula is a black box, one thing is certain: the IBD 100 list is where mo-mo investors tend to lurk.
The heavy concentration of emerging market stocks suggests that American investors may have waded in too deep. I'm only in a few emerging market stocks (none listed here), but this list makes me wary. If everyone else has discovered them, the upside may be limited. Here's the BRIC stocks in the IBD 100:
1. China: Home Inns & Hotel Management (Nasdaq:HMIN)
3. China: Ctrip.com Intl. ADR (Nasdaq:CTRP)
5. China: Vanceinfo Tech ADS (NYSE:VIT)
9. Brazil: Mercadolibre Inc. (Nasdaq:MELI)
10. China: China Automotive Systems (Nasdaq:CAAS)
12. China: Smartheat Inc. (Nasdaq:HEAT)
13. China: AsiaInfo Holdings (Nasdaq:ASIA)
15. Brazil: Gafisa S.A. ADS (NYSE:GFA)
17. China: Telestone Technologies (Nasdaq:TSTC)
18. China: Jinpan International Ltd. (Nasdaq:JST)
20. China: Baidu Inc. (Nasdaq:BIDU)
22. India (kinda): Cognizant Technologies (Nasdaq:CTSH) [note:this one is really based in NJ for its corporate headquarters, but it is an offshoring BPO company with a heavy presence in India]
25. China: CNInsure Inc. ADS (Nasdaq:CISG)
28. Russia: Vimpel Communications (NYSE:VIP)
32. China: Wuxi Pharmatech (NYSE:WX)
35. China: China Agritech (Nasdaq:CAGC)
37. India: Wipro (NYSE:WIT)
38. China: Harbin Electric (Nasdaq:HRBN)
41. China: E-House Holdings (NYSE:EJ)
43. China: Longtop Financial Technologies ADS (NYSE:LFT)
48. India: WNS Holdings ADS (NYSE:WNS)
56. Russia: Wimm Bill Dann (NYSE:WBD)
59. Brazil: Compania Brasileira (NYSE:CBD)
65. China: A-Power Generation (Nasdaq:APWR)
71. Brazil: Compania de Bebidas (NYSE:ABV)
84. China: Duoyuan Global Water (NYSE:DGW)
93. India: Infosys Technologies ADR (Nasdaq:INFY)
Other emerging markets represented include: Argentina (No. 99 Banco Macro SA) (NYSE:BMA), Panama (No. 95 Copa Holdings SA) (NYSE:CPA), Mexico (No. 67 TelMex Intl. SAB ADS) (NYSE:TII), Israel (No. 66 Given Imaging) (Nasdaq:GIVN).
DISCLOSURE: No positions.