timezero

China Techfaith Wireless Beats By $0.04; Guides Above Consensus; Stock Up 12% in After-Hours Trading (CNTF 3Q05 Earnings)

I am sorry to bring up the stock and be inconsistent on the comments. I used to be a firm believer of the company's story. On paper (publicly released infomration by the firm), the firm was definitely undervalued. If the products they design are great and have supported its major client's growth, then I have all the reasons to buy around 9. I was just too reliant on NEC's brandname for the judgement. Actually, since NEC does not have strength on 2G and 2.5G products, it outsources all those design work to China (according to NEC Telecom (China)'s CEO). I do not have to be assertive here. Just go to forum.younet.com (the most popular cellphone website in China) and check out customer's comments on NEC models. The webpage has an image of each model and you can find its counterpart on CNTF's website.

I believe the stock is going to get even higher because the 6-month lock-up will soon expire in early December (it was postponed due to the 3Q earning release). But, I have to say I made a mistake even though I made money on this one. Looks like I'd better shut up.