GENERAL STL Holdings (GSI)

General Steel Holdings is based in Bejing, Peoples
Republic of China. It was founded in 1988 and has experienced substantial growth.

GSI specializes in the production of semi-finished, hot rolled carbon and silicon steel sheet used in the manufacture of tractors and other agricultural machinery, shipping containers and other specialized equipment.

Due to the rapid growth in China's economy and infrastructure, the company is well positioned to occupy a somewhat specialized niche in the country's growth. Steel production is among the most basic industries to a country's development, so GSI is in a very good position both as a domestic steel producer and as an exporter of steel to neighboring countries in the Far-East.

The current price of GSI stock as of this writing, is $9.08 and their earnings per share are forcast to be approximately $1.00 / share for a P/E of about 9. However the forcast earnings growth rate is over 40%.

As recently as May of this year GSI had a share price as high as $12.00. If their forcast growth predictions are anywhere near accurate, a share price increase of over 100% over the coming year seems likely.

China will not slow down for too long. If the Chinese government says they will have 8% growth then they will have at least 8% growth. The big cities in China may be slowing down but the smaller cities, thousands and thousands of them, are just getting warm up.

Consider this:
1. The is reasonably priced
2. It is expected to post a 64% profit in 2008 and will be boosting its earnings.
3. It is a recent IPO

The world's fourth-largest economy is still expanding at a healthy rate and is one of few nations that can still afford fiscal pump-priming, although growth has slowed markedly from heady double-digit rates seen in the past six years.

Beijing announced on Sunday plans to re-engineer growth shifting the economy's focus away from struggling export markets to the domestic economy, promising to spend 4 trillion yuan ($586 billion) on infrastructure and social services-CNBC

A small cap non government owned STEEL company in a country that just approved a 586 billion stimulus package with concentration on infractructure. With that said, what is needed for infrastructure?

(for hint-reread)

Sell, sell, sell!! This company is very mismanaged, big time loser.

Highly volitile stock in a growing industry group.

multiple technical signals (score .75)

CRAZY EARNINGS GROWTH!!!

Great steel play. The world will be needing steel for a long time.

Seem determined to grow into the largest China company in the industry. Example recient purchase of Hungda Steel $7 mil. Jun. 30.

This key purchase will not only increases production capibilities it places them on the Sea for exporting in the furture.

In for the long haul. Don't let this disappointing quarter and apparent short-term mismanagement cloud the fact that GSI will continue to flourish for many quarters ahead! As China continues to modernize, steel companies like GSI will continue to grow and shareholders will reap the rewards over the long-term.

China infrastructure play - steel & ribar. Large potential growth opportunity.

Note to self: Long term buy, dont expect large initial returns. Initial purchase price seems resonably low compared to the previous year. P/E Ratio: 17.52

I bought this with my real money at 2.46 China will not slow down.

Leader in their field

Keep IT simple, do more with less

Government stimulus bubble will sure pop a Chinese steel company to the 20 bagger list

Buy on a pullback. Get in while you still can.

China! Steel Play!