China Techfaith Wireless Comm. Tech. Ltd (NASDAQ:CNTF)

Excellent earnings report, China bubble my ***

China will grow beyond all expectations

market rebound stock at all time low

Growth will fuel this stock. More consumers.

CNTF has showed strong earnings growth over the past several quarters. The challenge has been earnings. CNTF re-confirmed 2Q guidance on May 24th. Also in May, they reduced their total workforce by 25%. This will result in a restructuring charge - but also should result in substantively improved earnings in future quarters. I look for a SIGNIFICANT bounce in the stock price after 2Q results are announced.

Morningstart brought this stock to my attention as part of its list of new 5-star stocks. It believes that TechFaith's troubles are ending and the stock will begin to rise back to the $10 level soon. The P/E ratio is a little higher than I usually prefer, but it is due to bad earnings recently. Now that their operational issues are fixed and they have hundreds of talented and dedicated engineers working to make them rise above the stiff competition, I believe this stock will be seen as undervalued.

solid communications niche in china market explosion

Company is turning around and starting to look good, especially at this price.

Also good relations with top companies like MSFT, Intel, & Qualcomm. This tells me they are doing something right and making changes in how they do business.

ride the index back up

nice pullback, in it for the 2008 Olys

Techfaith stands for benefit from the margin pressure faced by the major carriers and cell phone manufactures. Techfaith is the largest ODM (Original Design Manufacturer) in China and has recently transitioned from a primarily regional customer based to an international customer base.

It appears that this transition and its associated negative financial implications are largely behind them and that company is well positioned to resume growth in 2007 and beyond.

Company has solid balance sheet and is buying back its own stock.

Major investors and strategic partners include Qualcomm, Intel and Microsoft.

Not sure this co. can compete with CHL but it has gotten too cheap.

China, cell phones,

5-star $359 million market cap on 11/24/06.
China - mobile phones, wireless software, and electronics.
5STARsmallCAPS picks five star stocks with the smallest market caps.

at all-time lows, undervalued - strong buy at $7-$8

cell phones for everyone in china. huge gowing potential

-oversold -3G in China pending Beijing word, then off to the races