1) Benda Pharmaceutical (OTC:BPMA) had two interesting announcements on Friday - the company received the go-head for mass production of conventional medicine in tablet form at its Ebei plant, and retained advisors to explore a potential AMEX-listing and other strategic and financing opportunities. But is this enough to lift the battered stock which registered its 52-week low just this past week?
2) China Education Alliance (CEUA.OB) has added a brand new revenue stream by launching online educational game "Fortune Island", a platform upon which the company hopes to sell embedded ads. But who will police these advertisements, given that the game is targeted at 6 to 18 year-olds, and will there be a backlash from the parents? Or should we even care, given the size and rate of growth of the online game segment?
3) China Solar (CSOL.OB) got an upgrade from research firm Dutton Associates which raised its 12-month target from $3.00 to $5.46 and from a "Speculative Buy" to a "Strong Speculative Buy". Dutton got it right the last time (the stock closed at $3.45 on Friday and the $3.00 target was issued in March 2007), but will it be right again this time?
4) Ever-Glory International (EVGY.OB) has just launched its own private label "LA GO GO" targeted at the Chinese domestic market. Isn't it a sign of the times when a low-cost export-oriented contract apparel manufacturer suddenly turns around to access its own nouveau riche market? Will the Chinese like this or will they continue to snap up foreign luxury goods?
5) Guilin Paper [GUPR.OB] is expected to return an EPS of $0.11 for FY2007 and despite that, closed at $0.25 on Friday, giving us a ridiculously low P/E of 2.3x. When will the investor community take note of this profitable, high growth stock with an operating history of over 70 years?
My Position: None.