Spreadtrum Communications, Inc. (SPRD)

one-star stock on this.

The wireless market continues to expand by leaps and bounds. By looking to the future and this continued trend, supply will have to meet the demand. This company fills that gap.

Good Guess.

Unique position in Chinese 3G system TD-SCDMA

TD-SCDMA is the key. Spreadtrum is licensed to Interdigital Communications. This will be a win-win for both companies.Up from the ashes!

VOLUME TECHNICALS NICE PIPELINE

Big contract for cell phone chips should keep them in the black for quite a while.

This stock will go up. just partner with samsung.

Was chosen by Samsung as its telephone chipset supplier.
Tried to pick this earlier but picks under $1.00 are not accepted...

good potential

China's booming mobile market and migration from emerging market to a mid/long term "smartphone" market.
SPRD's position in the local China market.
SPRD's experienced management team.
SPRD's involvement in mobile eco system in China.

I use the researchoracle reports & recommendations.

6 - 12 month target price of $15 based on weighted average of relative & DCF valuations. Also takes into account any currency impact.

Research Oracle: Spreadtrum Communications; SPRD - BUY, SPRDy.F – BUY

April 10th, 2008 ·

Spreadtrum Communications, Inc.’s (Spreadtrum) revenue and non-GAAP operating margin exceeded our expectations in 4Q 07. However, Spreadtrum is expected to experience a slowdown in 1Q 08, reflecting the interplay of several macroeconomic and company specific factors including seasonal sluggishness, macroeconomic uncertainty, severe climatic conditions in China and deliberate measures on the part of the Chinese government to decelerate consumer spending. China Mobile Limited (China Mobile), the largest company in the Chinese mobile market, commenced a trial of commercial 3G TD-SCDMA services on 01 April 2008. Once TD-SCDMA services clear the commercial test phase and are offered on a fulltime basis, we expect significant demand for 3G handsets in China. Accordingly, demand for Spreadtrum’s baseband chips is expected to experience a significant ramp up as the company is one of the leading baseband processor solutions providers in the Chinese market. Total revenues are expected to grow at a robust pace in FY 2008, boosted by sequential improvements in every quarter due to the strong demand expected for the company’s baseband semiconductor products. We expect gross margin to be stable in FY 2008, however, we have lowered our non-GAAP operating margin estimate for FY 2008 as we expect operating expenses to increase as a percentage of revenues. Nevertheless, we are optimistic that Spreadtrum will experience high growth in the coming years, and believe the ADR provides an attractive investment opportunity at current levels.www.researchoracle.com

Full report avaliable here http://www.iirgroup.com/researchoracle/show/issue/770

at a low but expect it to rise up. China is the economy on the rise for years to come.

China's cell market is burgeoning, they're in a good spot to continue to develop chips and as pointed out below it seems like it's trading cheap even after a little recent spike. Below IPO price of $14 too; a risky, but long-term promising, play.

Profitable, Chinese Govt has its back, chips for cell phones in China -- this stock will be one fo best stories in 2008.

the first pick, just begin to play with it.

SPRD is approaching it's IPO price of $14 after getting hammered during the credit crunch. It was unfairly dumped by PMs who had to trim risk from their portfolios.

This company should see some growth towards the end of the year as handset builds pick up, however, last quarter they reported worse than expected ASP decline at -10%. If units make up for the ASP decline, the stock should be okay in the short-term.

Over the long-term if all goes well with TDSCDMA, they along with Mediatek will own the space for chipsets. Even if Mediatek is able to kill them on price in the worst case scenario, I think there is enough room in the market for two players over the next couple of years as 3G rolls out in China.

This is still a speculative play since the real reason to own this stock is to ride the volume growth in TDSCDMA chipsets but it's still difficult to tell how fast and how wide-reaching that roll-out will be.

But, I think we're safe to assume that the Chinese government is going to do everything it can to safeguard it's own homegrown 3G standard so my bet is on SPRD to put up some big numbers in the next 2 years.

3G rollout has been slow - this has been harming those chinese telecom stocks. but china is committed to the 3g rollout and will likely push it hard prior to the beijing olympics.

Company has shown a lot of growth in the past years. Their product offers nothing ground breaking but their past history shows a lot of growth. The majority of their debt I assume is from building their R&D centers and will probably pay for themselves within the next few years. The company is in a highly competitive market but does show some promise.