jimmy smith

China Mobile: Dialing for Dividends

the stock would be a good buy in around $48/ADR (close to today's prices)... IF... it was based in the US. but since its based in China, you've got to have some type of "Chinese discount" due to the political risks.

it was just last year that the gov came into CHL and decided to willy-nilly "rotate" CEO's amongst the various phone companies! an unheard of activity observed in the West. can you see the results? yes! CHL's stock has stagnated while its rivals have surged.

due to this kind of governmental tampering, i'd want a sizable margin of safety to invest in this firm. i'd be a buyer in the low 40's.