The GeoTeam® is now offering a new service that identifies GeoSpecials®, or companies that qualify for inclusion in a selective special situation list. We will be compiling this list over time and eventually dedicate an entire section in GeoInvesting® for such stocks. For now, the Learning Center will serve to identify them and elaborate on the reasons why we feel they belong there.
Although some GeoBargains® can be part of this list, GeoSpecials® don't necessarily need the same set of strong fundamental data since they often play to the more intuitive side of investing.
Some of the most notable criteria needed to label a stock as a GeoSpecial® include:
Changes in Dividend Policy
Repricing of Risk Premium
See full breakdown at GeoInvesting.com.
The GeoTeam® is currently exploring stocks whose prices have been decimated due to the econimc crisis. They were priced to fail, resulting in significantly reduced P/E ratios. We believe that these companies' risk premiums will be adjusted to challenge this failure, resulting in the attainment of normal P/E ratios commensurate with increases in price.
Today, the GeoTeam® would like to draw attention to the following low P/E GeoSpecials® that are growing their earnings:
CBEH CHINA BIO ENERGY HLDG GROUP CO ; Repricing of risk premium.
ATSG AIR TRANSPORT SERVICES GRP INC ; Repricing of risk premium, Debt restructuring.
OPAI ORIENT PAPER INC ; Repricing of risk premium, Improved liquidity.
Disclosure: Long CBEH, ATSG, OPAI