Tongjitang Chinese Medicines Co. (ADR) (NYSE:TCM)
A vertically integrated and profitable specialty pharmaceutical company focusing on the development, manufacturing and marketing of modernized traditional Chinese medicine.
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This is a currently profitable company in the Chinese Health Care / Pharma industry that can only go up. In the last 20 years, developments in healthcare in the US has favored pharm companies. I believe this is the direction China will go as well. target = $20.
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play on china's vast demand potential
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growth potential unlimited if you realize how much demand there is for traditional chinese medicine there is in the world. The three biggest problems with Chinese medicine is 1) if you were to buy herbal medicine at a traditional pharmacy, you get a packet of maybe a dozen ingredients you've never heard of, and are quite suspect that they are fakes 2) it takes a long time to make at home and 3) medicine usually do not taste very pleasant. This company's products eliminates all three problems at once by producing medical grade pills of the same things. It simply makes traditional medicine so much more accessible to anyone who has any interest in taking this stuff.
I think it's a high growth company with a huge upside potential from this point on.
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About 30% undervalued stock, hot industry and, of course, ni hao*!
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*means 'Hello' in guess which language? ;)
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Buyin China through Olympics
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huge market
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Again, small cap, new IPO that has solid businessin a huge market.
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This is mostly a momentum call. Looks to me like investors got scared, but it should turn in another month or so.
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Revenue increases at 1/3 year over year, but the P/E ratio is just above 13. It's under-valued.
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CHINA PLAY
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