Spreadtrum Communications, Inc. (NASDAQ:SPRD)

sprilaf (43.88) Submitted: 9/25/2007 1:29:42 AM : Start Price: $13.32 SPRD Score: +32.03

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.

marketsinfocus (< 20) Submitted: 8/24/2007 1:28:50 AM : Start Price: $10.64 SPRD Score: +60.05

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.

Tophinater (< 20) Submitted: 8/2/2007 4:27:37 PM : Start Price: $13.73 SPRD Score: +25.66

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.