4. China Automotive Systems is a holding company of Great Genesis Holdings Limited. Through Genesis, the company manufactures power steering systems and other component parts for automobiles. The company operates through eight Sino-foreign joint ventures in China and a wholly owned subsidiary in the U.S. The company will announce its fourth-quarter and full-year 2010 results on March 21. Net income for the fourth quarter is forecast at $8.4 million on sales of $93.3 million, compared to net income of $6.8 million on $83.8 million sales recorded during fourth-quarter 2009, according to analysts polled by Bloomberg. Earnings per share are seen at $1.13 for 2010, up from 77 cents per share reported during 2009. For 2011, earnings per share are likely to increase by 8%, to $1.22, analysts foresee. Of the seven analysts covering the stock, 86% recommend a buy, while the remaining suggest a hold. There are no sell ratings on the stock. Analysts polled by Bloomberg expect the stock to gain an average 107% to $18.25 in value from current levels.
Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100.