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Jason Davies graduated from Harvard University in 1999 with a Degree in MA Finance. He is currently working as an independent finance analyst covering Asian companies and MA activity. He has worked for Goldman, Citibank, and JPMorgan.
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  • JD Fund Announces Investments in the Alternative Energy Sector
    JD Fund is taking an investment in the following companies:

    EnerNOC, Inc. (NASDAQ:ENOC) - We feel the stock is undervalued and the chart is nearing bottom. 

    Cal-Bay, International (OTCPK:CBYI) - A new direction from the company with a green alternative energy play.  We think the company is in a 360 degree turnaround from its prior and think they have more to offer while the demand in the green field will continue to grow.
    Apr 13 2:02 PM | Link | 1 Comment
  • BORN to Grow Earnings

    BORN, better known as China New Borun Corp., is a leading producer and distributor of corn-based alcohol in China.  The company sells to producers of "baijiu", a grain-based alcoholic beverage which is widely consumed in China.  The company uniquely produces its edible alcohol through its proprietary Borun Wet Process, which is environmentally friendly and has a higher production yield than that of its competitors, which uses the dry milling process.  The company additionally produces revenues from its by-product, corn germ. 

    BORN has reported their 2Q 2010 earnings of 0.46 per share on revenues of $64 million.  Their gross profit increased to $15 million, while their net income has also increased to $9.9 million.  All these reported increases amount to approximately 150% from their 2009 numbers.  Revenues from DDGS Feed and Corn Germ, which are both by-products of the production process accounted for more than 30% of total revenues.  This is likely to increase as the company increases its production capacity at the end of the year through its Phase III construction of its Daqing facility. 

    With total revenues to exceed over $240 million for 2010 and to over $340 million for 2011, their EPS is on pace to do over $1.60/share for 2010 and over $2.00 for 2011.  The industry average PE for this sector is at a range of 15-25.  Considering that BORN stock right now is at $14/share, it would imply that the share price is considered very cheap by any standards.  We will see if BORN will rise again when their earnings are reported on November 16, 2010.



    Disclosure: Long BORN, BIDU, CCME, AAPL

    Disclosure: Long BORN, BIDU, CCME, AAPL
    Nov 13 8:05 PM | Link | 2 Comments
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