Sohu.com, Inc. (SOHU)

TSIF (98.76) Submitted: 5/8/2009 11:57:19 PM : Start Price: $54.71 SOHU Score: -22.52

It would be hard to find a company with more potential and a faster grwoth rate than Sohu.com. The P/E greater than 10 is not my normal pick in this recession. Nor do I usually care much for companies with a P/B of 4.75. That's a lot of growth priced in. It's low, however for a company with a 40% margin and a 53% ROE and 106% qtr/qtr growth. No debt, large moat. Chinese companies go in and out of favor with investors, but a Chinese company leading the internet infrastructure in the fastest growing country in the world can go out of investor favor, but it's organic growth will continue. Few good longs in this environment, but I'd suggest considering this one.