China Sky One Medical (CSKI)

china canslim

I bought some in real life a few days ago (coattails of ultralong -- 85% accuracy? hell, he can tell me what to do any time).

HOWEVER, I have been hearing a lot of talk in the blogosphere that the company has no patents, is filing fraudulent earnings reports, etc. etc.

Their big earner is a weight loss patch. Now, I don't care if it works or not (it probably doesn't), as long as they are selling it. But if the SFDA decides to make them stop selling that, the flawless margins would definitely take a hit. Like I said, the margins are spectacular, no debt, cash heavy (over $2/share) but if the whole thing turns out to be fraud..

So which is true, negative internet speculation or stellar filings?

If somebody could help clear it up, I'd appreciate it. Until then, short term buy on pure technicals.

this one could go big...

Explosive sales growth, huge market, zero dept. Should be over $25

UL

UL, 11/23/09

Yes....don't crap your pants, don't lose your lunch, don't scratch out your eyes, its a green thumb and it's a China play!

What a beautiful quarterly report and I'm not being sarcastic this time:

Revenues up, profits up, ointment revenues up, spray products doubled up, other product revenues quadrupled (thanks to acquisitions but still product-to-product revs up), cash per share up to 3.38, no debt, forward price to earnings under 6, profit estimates revised upward, profit margin steady at a whopping 75%.... I mean damn, is there ANYTHING these guys aren't doing right at the moment?

They've addressed the accounting issues and are in the clear. Everything here says go baby go! Fair value here is $25.50-$27.00 based on my estimates.

UltraLong

Upthumb. Great cash flow. Huge sales growth. Lots of cash on-hand. No debt.

No insider buys in last 2 years. Questionable inventory turn rates. 17% short interest holding as the price increases. Too much smoke - has to be some fire.

MLGtrader - http://caps.fool.com/player/mlgtrader.aspx

On August 26th, China Sky One Medical, Inc. (NASDAQ: CSKI) issued a press release addressing discrepancies between financial statements filed with the China State Administration of Industry and Commerce (“SAIC”) and statements filed with the U.S. Securities and Exchange Commission (“SEC”). asensio.com first reported on the discrepancies in a report issued on August 6th.
CSKI’s press release admits that its SAIC filings are not consistent with its SEC filings. The release states, “The Company [CSKI] has determined these financial reports are materially different from the financial reports filed with the SEC.” The statement that the “Company has determined” is especially odd, given that the discrepancy was revealed by an outside party, and that CSKI management, based in China, should have been aware of the discrepancy prior to an outside party reporting it.
A major issue from the asensio.com report left unaddressed by CSKI is the small amount of revenue reported by CSKI’s suppliers and customers, which CSKI has disclosed. These other companies’ SAIC-filed financial statements are also much lower than the level of revenues reported in CSKI’s SEC filings.
The previous asensio.com report mentioned that CSKI’s main operating subsidiary, Harbin Tian Di Ren Medical Science and Technology Co. (“TDR”) showed revenue of only about $1.3 million and net income of only $1,000 in its SAIC-filed income statement for 2007, compared to the $49 million in revenue and $15 million in net income reported in CSKI’s SEC-filed Form 10-K for 2007. Credit reports show TDR's 2008 figures to be equally inconsistent. Is this company a fraud ? Lets See ....... TS

Cash rich, no long-term debt, profitable.

Great China play for cheap; recent overreaction makes for a great deal.

China is rapidly developing. You will see an industrial and economic explosion over the next few years.

This company has unlimited growth potential. This is enhanced by Chinese government program to launch public health insurance.

There is no long term debt here, over 35% insider ownership, strong EPS / Revenue growth rates over the past 3 years, and strong overall growth projections for the future. Price to book is less than 3, and a very strong balance sheet. Greenblatt pick.

Chinese medical company with a healthy (ahem) stable of Traditional Chinese Medicine offerings. The new middle class' grandparents are an enormous market.

China Sky One Medical has $3 per share net cash. In my mind, this takes the net price from $13.29 to $10.29, which is approximately 4 times 2010 expected earnings. Sales growth is phenomenal for this Chinese manufacture/marketer of branded nutritional supplements.

a good stock on sales...