This company China Finance (JRJC) has risen to 47 from single digits with little significant news. Unless this company has major profit and revenue opportunities that are not public, I am highly skeptical of such a rapid rise in share price.
too risky for me - I dont see any reason to short unless for a pure speculative play.
too much risk of being burned
A PM who likes to add random growthy bubbly frothy names to his IRA bought some of this at 6.50 last year. Since I’m Chinese, he told me to look at it. I told him the usual drill “p/s is too high, lack of transparency, wtf do they sell?” type of response. Plus it doesn’t fit our firms investment philosophy, so I brushed that request off. When it dipped to 4.xx towards the end of the year, it felt pretty good. And now…it’s at $40+ multibagger within a year on no news and no growth. Talk about feeling like an idiot. But who the hell buys a firm at 58x Revenue???
this chart will look like JSDA’s in a few months…
FYI, Tim Sykes just wrote an article about JRJC on TheStreet dot Com today… how could they actually hire him to write an article?
Yeah, but what’s the borrow on a stock like this? I’ll bet you can’t short it unless you are connected and want to pay big borrow fees.
kevin0118 Wrote: ------------------------------------------------------- > A PM who likes to add random growthy bubbly frothy > names to his IRA bought some of this at 6.50 last > year. Since I’m Chinese, he told me to look at > it. I told him the usual drill “p/s is too high, > lack of transparency, wtf do they sell?” type of > response. Plus it doesn’t fit our firms > investment philosophy, so I brushed that request > off. > > When it dipped to 4.xx towards the end of the > year, it felt pretty good. And now…it’s at > $40+ > > multibagger within a year on no news and no > growth. Talk about feeling like an idiot. But > who the hell buys a firm at 58x Revenue??? i guess if your willing to take a loss some of these plays are pretty good if you just want to get in and get out.
here is another name, China Natural Resources Inc (CHNR), it has risen to 44 in one week from being around 10 all year long, especially when Chinesse market is closed…
That’s funny, I applied to an asset management job posting on efinancialcareers a couple months ago and it ended up being for China Finance. The recruiter came off as somewhat shady on the phone, and wasn’t able to tell me much about the job. All I know about their business model is that they give Chinese businesses access to capital by listing them in US stock exchanges. Wasn’t really my cup of tea, so I never followed up.
check out RCH