GFRE uplisted today!
Here's a pick I intend to keep open for a long time. I highlighted it as one of my favorites in this post and it is my next pick for AllStarPortfolio. It is a former .OB Chinese micro that finally uplisted to the NASDAQ today. Anyway, pitch below:
Gulf Resources Inc. now trades under the ticker GFRE on the NASDAQ and was previously GFRE.OB and GRUS.OB on the OTC BB. After a 1-for-4 reverse split, GFRE closed Tuesday 10/27/09 at $9.59. All the financial statements are still in pre-split terms, so this pitch is based on the pre-split price of $2.40.
Let’s delve into the financial statements. The first relevant annual statement was submitted in 2006, so that will be the furthest I will go back.
First, check out the very nice sales growth:
Year over year sales:
Next, check out annual earnings:
Year over year EPS:
Without issuing too many shares, equity has grown quite nicely. Book value is below. Check out the 99% book value growth from 2007 to 2008:
This company is highly profitable and growing quickly. With over $38M in cash and only 23.5M in total liabilities, it's very healthy as well.