1. AsiaInfo ( ASIA) sells telecommunications software and IT-security products.
Numbers: Fourth-quarter profit multiplied sixfold to $14 million, or 29 cents a share, as revenue climbed 42% to $76 million. The operating margin widened from 15% to 19%. AsiaInfo holds $285 million of cash, equating to a quick ratio of 2.1, and no debt. Stock: AsiaInfo has soared 143% over the past year, beating major benchmarks. The stock trades at a price-to-projected-earnings ratio of 18, a 14% discount to the industry average. Its PEG ratio of 0.6 reflects a bargain relative to expected growth. Catalyst: China's telecom-software spending is expected to grow 15% a year through 2012. One of two telecom users is served by AsiaInfo's systems. Expansion into the IT-security market is a safe diversification as government agencies drive growth. Consensus: Seven of eight analysts that follow AsiaInfo advocate purchasing shares. The stock gained 61%, on average, during the past three years. Pacific Crest Securities projects it will climb 43% to $40. It ranks in the top 3% of our coverage universe. -- Reported by Jake Lynch in Boston.
Shares of China Sky One Medical (Nasdaq:CSKI) have taken a tremendous swing upward. The stock is trading at $3.23 as of 3:41 p.m. ET, 23.3% above Thursday's closing price of $2.62. Volume is at 528,537, 4.3 times the daily average of 122,300.
Shares of China Sky One Medical (Nasdaq:CSKI) have taken a tremendous swing upward. The stock is trading at $2.57 as of 2:25 p.m. ET, 20.7% above Wednesday's closing price of $2.13. Volume is at 151,799, 1.2 times the daily average of 123,500.