AMERICAN ORIENTL BIO (NYSE:AOB)

AOB will outperform. They have done a good job of setting up the company to take advantage of the huge population in China with the recent purchase of their distribution company. Organic earnings will slow future dilution. Low debt and steady growth, with continuing acquisitions.

China is showing they are, more than ever, part of the world market system with their own finacial bailout contribution. This should boost all Chinese stocks and AOB is one that appears ready to takeoff.

The Chinese are much less concerned about this downturn and are likely to rebound quickly and significantly.

I loved this stock when it was at 12 dollars, and I love it even more now. It's in a relatively safe industry, in an economy that's ready to blow up. When comparing it against other companies in it's industry, it's ridiculously low P/E leads to a phenomenal PEG rating. This stock is set to grow. AIG is going to be in my portfolio for several years, but I expect it to be great in the next year or two.

AOB will grow substancially for the next few years.

china stock

Eastern pharmaceutical company catering to Eastern users, makes sense to me. Small company, huge growth potential!

The Chineese need drugs too

After the breather, China will take the next Giant step.

Healthcare and specifically self-prescription will both flourish in China as it has in every industrial revolution.

People like to spend money on themselves, especially when it comes to their health.

Consider the balance sheet. Company has money to burn for acquistions. With the bottom falling out of the market, new acquistions are close to outright steals! If management uses money on hand, wisely, they (and we stock owners) will reap huge returns in the midterm and beyond. They don't have to be sane to put money to good use!

Can't go wrong at this price.

If this company stears clear of lawsuits I believe it will do well. It has the 'holistic medicine' going for it as well as the hospital market.

Stocks on sale. Play money to spend.

General - MF

China will continue to grow. This company has very little debt and good profits.

China is down big, and may continue to suffer for the next 12-18 months, so I'm going to ease into my China Small Cap Value positions. But I think small cap value in china is going to do well over next 5 years.

CHeap cheap cheap

If you look at the long term chart, you will see that the stock channels between approximately $7 and $14, and has done so for a couple years. The stock is now at the bottom of the channel (last trade was $7.09), just in time for flu season.

Here is what you need to know:

P/E Ratio (TTM) of just 10.41, versus the industry's average of 24.1

Has an incredibly consistent record of increasing sales at 50% year-over-year and earnings 30-40% year-over-year

Positioning itself for even further growth through the recent signing of a letter of intent to acquire a leading pharmaceutical business in China

$144.4 Million in cash and only $10.78 Million in debt

21% of the shares are held by insiders; institutions hold 58.90%

4 analysts rate it a "Strong Buy", 1 calls it a "Buy"