Five Chinese Smallcaps to Watch This Week

1) China Solar & Clean Energy (CSOL.OB) - since announcing its earnings on Thursday the stock has lost about 20% of its value despite record revenues. Why? Gross margins are down (competition heats up) and net income is down (increasing operating and tax expenses). Yikes!

2) Along Mobile Tech (AGMB.OB) - after falling from a high of over $3 in April this year to below $1 earlier this month, the stock rebounded with a 28% gain on Friday. Is this the turning point for the beleaguered mobile services provider?

3) China World Trade (CWTD.OB) - this company appears to be in the midst of a major change in strategic direction, morphing from a B2C to B2B outfit providing hospitality services, and adding a business and financial consultancy arm. After releasing its results this past Wednesday, the stock price came close to its 52-week low on Friday. What's happening?

4) Aida Pharmaceuticals (AIDA.OB) - the company announced its results on 11/14 and they were less than stellar. Of the many OTC companies in the pharma area (and thus subject to the current changes at SFDA), Aida is one of the most vulnerable because of its limited product range. Plus, the latest 10Q devoted 4 (yes, 4!!) pages just to the company's short-term debt (amounting to over $29.4m). If sales doesn't pick up soon, liquidity will be a major issue.

5) China Recycling Energy (CREG.OB) - all eyes on the company after the announcement of the Carlyle investment on Friday. Can the stock price double on Monday? Very possible.

My Position: None.

Comments

[Marol:]

I'm a novice investor -- so "what's happening?" means nothing to me. I would appreciate it if you could spell these things out . . . and thanks!

2007 Nov 19 09:59 PM