TechFaith Chairman & CEO Increases Ownership to 31.66%; Sees TechFaith as Undervalued with Continued Growth Prospects

http://ir.techfaithwireless.com/phoenix.zhtml?c=189668&p=irol-newsArticle&ID=1513483&highlight=

G/M Dude...any thoughts on CNTF?

tia :)

CNTF - If you take out its cash of $3.7 per share, at current price of $4.11, you only need to pay $0.41 per share for this fast growing, leading position business in China. The current PPS is way too low for the cash, growth and potential...thats JMHO of course... :)

CNTF - TechFaith Plans Big Push at GSMA Mobile World Congress

China TechFaith Wireless Communication Technology Limited today announced it would have an increased presence at the prominent industry event, the GSMA Mobile World Congress in Barcelona from 14-17 February 2011. TechFaith plans to showcase a variety of new mobile phones, alongside its full range of existing GSM, WCDMA and CDMA models. (...)

http://www.marketwatch.com/story/techfaith-plans-big-push-at-gsma-mobile-world-congress-2010-11-29?reflink=MW_news_stmp

FIVE BUCKS HERE WE COME !!!

cash was increased by 8 million dollars to 179 million or 3.37 per diluted share.

Book value stands at 4.37 per share.

3Q10 revenue increases 30% to US$68.6 million compared to 3Q09

revenue is now on a 300 million dollar run rate.

eps was .09 cts. 2011 estimates will be .55-.65cts

The shares should trade to five in the days ahead. (JMHO!)

Yeeeehaaaaah!!! :)

tick-tock-tick-tock-tick-tock...

:)

Just nice...AH $4.20 in this weak market...

5 Bucks here we come... :)))

See ya November 24th when we'll see the #'s pre market insteed after the bell...a good sign!!...JMHO

5 bucks here we go!!! :)

Yes, realy nice to see you too...looks like "everyone" is here for the funeral feast of Hartcourt?!..lol

Hi Ron, looks like we are appointed here today but we are NOT...lol...just a coincidence!!

OT: check your mailbox, plz...

anyone think that portrait looks like 'our' alan?



Definitively YES!!!

OT: BTW, nice to see you, metoo! :)

Great overview:

http://www.techfaithwireless.com/english/document/CNTF%20PPT%20Sept%202010%20V34_0913.pdf

NEW YORK (TheStreet) -- 10 China ADRs outperformed the Shanghai Composite Index and S&P 500 Index over the past week. These top 10 performers registered double-digit gains; in comparison Shanghai Composite Index gained 1.4% and S&P 500 Index declined 0.7%.

Among these top 10 China ADRs, China Techfaith Wireless Communication Technology(CNTF) soared 17.7% during the past week after the company reported a 62% increase in its second-quarter profit. Revenue increased 32% to $65.5 million as compared to the same period a year ago led by sale of 691,000 mobile products. For the third quarter, the company predicts revenue in the range of $66 million to $68 million. (...)

Just nice....imo :)

The next bigger step could be normal...it looks like imo

FINALLY the next step??

Time is more than ripe...imo....

Tomorrow we'll see a huge upside-gap...imo for sure!

Untill now I never sold a single share and I'm not willing to do so before we hit a double-digit...JMHO!!!! :))))

My next target is......what ever ya think....yeeehaaa...

Please can someone pinch me...I just guess I have a Déjà-vu...

Last 2.42 +0.16 (+7.08%)


I'm still ready for takeoff... :)

Just one word: ridiculous!!

A profitable company with a great outlook is still trading way under book value...Also, they have the same cash as the value...crazy!!!!!

However...holding ALL my shares especially cause they are tax-free in case of selling anytime...

Fourth quarter revenues increased by 13.3% from the third quarter of
2009 and by 15.2% year-over-year to US$59.8 million.
-- Fourth quarter net income increased to US$3.1 million from a net loss
US$3.4 million in the third quarter of 2009.
-- Full year 2009 revenue increased by 1.1% year-over-year to US$211.1
million.
-- Full year 2009 operating expense reduced by 37.9% year-over-year to
US$24.9 million.
--EPS $0.15
--Guidance for Q1 is good ($60-$62million)

Now they need to say QiGi and gaming will bring margins up next qtr...


Not that bad! :)

TickTockTickTockTickTock... :)

CNTF update 3/7/2010 (nice read imo)

http://pacificclub.sauropol.com/an-update-on-cntf-372010/

CNTF update 3/7/2010 (nice read imo)

http://pacificclub.sauropol.com/an-update-on-cntf-372010/

It has been one year since we recommended and many of us had purchased the stock. The stock price moved up from where we recommended around $1.30 area to the current $3.0 area. We feel the company is still very much undervalued if you consider the company’s cash asset and business. We feel CNTF will give shareholder a big return due to a good growth and profit this year. I am not surprised if the stock goes above $10 eventually. Here is why we think the stock still has big potential:



1. The company has $128 million cash and $16 million convertible debt. The current market cap is only $131 million, which means the enterprise value of the company is only $(131-128+16)=$19 million. The company’s revenue is more than $200 million and the business is profitable while the street views the company’s business worth at only $19 million. Thus, the company is still very much undervalued. Ironically, the stock price was around $15 few year ago when the revenue and profit were much worse/lower than they are right now. The difference is that the street saw CNTF as a high growth company at that time; they do not see CNTF as a high growth now. Well, unnoticed by many investors and analysts, the company is starting to grow again. The company is waiting for the street to discover this hidden gem and it is also time for the company IR to put effort to get the street to notice its growth and potentional.

2. According to our estimation, the company could generate almost $0.40 per share profit for 2010. CNTF is a high tech company with good profit and Valueline has a valuation model for this type of company. If we use the formula to value CNTF, it will be $(2.5*R+C-D)=$(2.5*210+128-16) million=$637 million=$14.81 per share. Thus, $10 price target would be still only a conservative estimation.

3. The company’s online gaming business will start to generate revenue and be profitable this year. The online gaming business should help CNTF’s business’s bottom line in future. The company offers games in two main platforms. One is for mobile platform and the other is for PC platform. The following two links are their websites: www.798uu.com and www.798game.com.

4. The company continues to have operational profit for more than a year now and we believe the company will continue this trend of operational profit in the future. We thought the company should maintain net profit without any charges when we recommended the stock one year ago. But, you might have noticed the company had a net loss of $3.4 million in the third quarter of 2009 which was a big surprise for many investors, including us. The loss included a one time US$9.2 million non-cash charge as a result of change in fair value of the derivatives associated with a convertible debt. If you take that out, the company would have an income of $5.6 million for the revenue of $52.8 million. We do not believe the company will have this type of charge again in future.

5. The company will announce fourth quarter 2009 earning on 3/15/2010. We believe the company had a great quarter. During the third conference call, the company gave the revenue guidance of $52 to $55 million. We expect the revenue will be at the high end of the guidance at around $55 million and profit will be at $8 million level. If the company can achieve the revenue and profit as we estimate, the stock price should get above $4, a new high for the year.

6. There are still no analysts and investment banks officially recommending the stock yet, but some signs of institution attraction and institutional investors quietly buying in the stock were observed in the recent conference calls and the institution filing data from SEC:

Institution activities information:

Total Shares Held: 28 9,266,015

New Positions: 10 1,625,647

Increased Positions: 16 1,922,010

Decreased Positions: 8 1,702,324

Holders with Activity: 24 3,624,334

Sold Out Positions: 4 709,951

Worth to mention is that one of the biggest investment banker Morgan Stanley has started a new position and has quietly accumulated 1.4 million shares recently.

The company has started investment road shows recently. We see this as a very positive sign. We believe the company will conduct the road shows more aggressively in the future. With better earnings and more road shows ahead, more investors will invest in this stock. When the stock price hits above $5, the analysts will start to cover the stock.

7. 800,00 shares short positions were covered recently. I see this as good and bad. Good part is that the people who shorted the stock saw what we saw now. They recognized the stock price will go higher in future so they covered their positions. The bad part is that they were able to cover their position but it did not cause the price move much higher due to short squeeze. Nevertheless, the stock price will go higher and that is what these people saw. Otherwise they will not cover their short positions.

8. Technically, the stock was in very bearish mode recently. The price even drop under 200 day moving average at the end of Feb, which was considered as long term bearish, but you know the technical signal can be easily manipulated. The fundamental of the company did not become worse (actually became better), but stock price went down from the recent high of $3.5 to $2.56 two week ago. Many investors who bought the stock due to the price movement without knowing (conduct great research) CNTF well were shaken out by this recent downward trend. The gain from the manipulation was able to lead the shorter covered and institution investors bought CNTF at bargain prices. Here is the one year chart:

The chart shows the price has moved above the 200 day and 21 day moving average now. The price also touched 50 day moving day. The pattern becomes bullish now. You know what will happen next. The price should move higher. The stock will become very bullish if the price moves higher next few days. This could happen if you believe the earning will be good. The earning will be released on 3/15/2010, which is only one week from now.



Thus, we are very bullish CNTF stock now. The price could pop up 10% easily from here in short term and it would not surprise us the price will go to new higher after the earning release.

CNTF related: 3G Handset Sales in China will increase 6 times in 2010

2009 sales: 7.2m 3G handsets sold in China
2010 predict sales: 42.97m 3G handets in China

CNTF will benefit from this huge China 3G market. Mobile network operators will subsidize the 3G subscribers who buy 3G handsets and sign 3G services. -jmho-

http://tech.sina.com.cn/t/3g/2010-02-09/08353847207.shtml

3G Handset Sales in China will increase 6 times in 2010

2009 sales: 7.2m 3G handsets sold in China
2010 predict sales: 42.97m 3G handets in China

CNTF will benefit from this huge China 3G market. Mobile network operators will subsidize the 3G subscribers who buy 3G handsets and sign 3G services. -jmho-

http://tech.sina.com.cn/t/3g/2010-02-09/08353847207.shtml

CNTF - FWIW: New games among the Top50 -> #4 + #5 !!

http://games.sina.com.cn/top50/

FWIW: CNTF games among the SINA.com Top50 -> #4 + #5

http://games.sina.com.cn/top50/

Nice try, but they don't get my shares that cheap...MARCH 16 it is and I'm expecting excelent #'s...imho

Next 2 games will go online this weekend and will bring revenues as well as the first on for this quarter...expecting a pre# run mid march and a huge pop im may when online gaming shows many $$$...thats just 3 more months!! :)

http://lz.798game.com
http://qj.798game.com

CNTF - Reations on first online game debut - BTW servers were overloaded by the afflux...

http://bbs.sx.798game.com/viewthread.php?tid=21508&extra=page%3D1

(...)
1st, 17173 wish in advance "Deity OL" in measures the human spirit to be irritable, online rate climbs successively, plays the family to China to bring the joyful game experience!
- - 173 content department vice-Chief Zuker

2nd, congratulates "Deity OL" in measures official opening, wishes 798Game to create new high again in the domestically produced original game domain, eagerly anticipates a 3D round net to tour the new prevailing custom.
- - Sina game business center inspector general Yang inspires

3rd, several wind and rain, a three year sword. Wishes 798Game "Deity OL" does not delete in the files to measure successfully, plays the family for China to bring the renewal, a better game to enjoy.
- - leaps news game Chief Editor Dai Bin

4th, wishes "Deity OL" in measures **, to play the dynamic transcription which, the stochastic duty, the speed dating the family brings innovates to make friends, the linkage community, the magical brush doodle and so on to slight the law.
- - the net easy to play the channel

5th, the new year plays tours newly lets your joyful match deity! Wishes in advance the 798Game first section to play "Deity OL" in January 28 In Japan measured that ** succeeds!
- - plays the net to respectfully congratulate!

6th, the 52PK game network respectfully congratulates "Deity OL" on January 28 does not delete in the files to measure opening, develops in 2010 the domestically produced round system network to tour new **.
- - the 52pk net respectfully congratulates!

7th, You Jiuwang congratulates 798Game the first section to play warmly "Deity OL" on January 28 does not delete in the files to measure grand opening, wishes in advance "Deity OL" in measures smoothly, the human spirit is irritable! And wishes 798Game more to do is stronger!
- - You Jiuwang

8th, several wind and rain, a three year sword. Wishes 798Game "Deity OL" does not delete in the files to measure successfully, plays the family for China to bring the renewal, a better game to enjoy.
- - the computer games capture Chief Editor Xiong Tao

9th, if not the group jade mountain top sees, will meet to the precious Taiwan month under. Exactly when value early spring arrival, the e-Play all staff wishes in advance "Deity OL" in measures successfully, the Year of the Tiger lives the prestige tigerishly!
- - e-Play computer games Shinkansen

10th, wishes in advance "Deity OL" in January 28 measures ** to succeed, the online population rises high successively!
- - 178 game networks

11th, the Pacific Ocean game network respectfully congratulates "Deity OL" in measured that the human spirit is irritable! Plays the online population to create new high again! Becomes magnificent model which the round system network tours!
- - Pacific Ocean game network

12th, when early spring, Guang Shou anticipates "Deity OL" to plays the family to open wide generally again embraces, the round system game amateur will also experience this section of excellent work the infinite charm. "Game Base" and the GameSpot Chinese stands, in this wishes in advance in 2010 the most magnificent round net to tour "Deity OL" in measures successfully.
- - GameSpot game base

13th, the computer newspaper wishes in advance "Deity OL" in measures successfully, is willing to play can give plays the family to bring the most magnificent feeling.
- - computer newspaper game weekly (...)

CNTF News - TechFaith to Launch First MMORPG PC Online Game

http://ir.techfaithwireless.com/phoenix.zhtml?c=189668&p=irol-newsArticle&ID=1378877&highlight=

BEIJING, Jan 26, 2010 (MARKETWIRE via COMTEX) -- China Techfaith Wireless Communication Technology Limited (NASDAQ: CNTF) ("TechFaith") today announced that its wholly-owned gaming subsidiary 798 Entertainment Limited plans to officially launch its first MMORPG PC online game, Fairy Online, into open beta version at 7:00 p.m. (Beijing Time) on January 28, 2010.

Fairy Online is a dazzling and innovative MMORPG based on the breakthrough 3D technology 'Cartoon Box.' The game is designed to give players a stunning visual experience, with the graphics competitive with if not better than the popular cartoons. The game also boasts countless creative features, such as random tasks, fast friend searching, an interactive community and graffiti brush. The combination of rich graphics and game features offers a first-class gaming experience. Equally important, Fairy Online was designed to offer a rich cultural experience, with content true to the ancient Chinese background.

Mr. Defu Dong, Chairman and CEO of TechFaith, commented, "This is a very important step forward for our gaming business. We have high expectations for Fairy Online based on the stunning production our team achieved and based on highly positive initial feedback from our closed beta test. Fairy Online will serve as a showcase for the technology, graphic and storytelling innovation that we strive to be known for in our gaming business. We are focused on building momentum in our gaming business. We intend to follow up Fairy Online with other rich PC online, mobile, and motion sensor games."

Local governments court technology firms to boost economy

http://www.chinadaily.com.cn/cndy/2010-01/25/content_9368968.htm

(...) "We want to create in the city a Chinese silicon valley for the mobile industry," said Gou Zhongwen, vice-mayor of Beijing. He said the local government plans to make the telecom industry a new economic engine for the capital in the next three to five years.

Last month, about 20 telecom firms, including Jingxin Semiconductor and TechFaith Wireless Inc, signed a memorandum to invest 4 billion yuan in the new technology park.

Jingxi and Techfaith are both domestic telecom firms. They announced last year the purchase of the mobile chip business of the US chip maker Freescale Semiconductor, previously a division of Motorola. (...)

CNTF related - Local governments court technology firms to boost economy

http://www.chinadaily.com.cn/cndy/2010-01/25/content_9368968.htm

(...) "We want to create in the city a Chinese silicon valley for the mobile industry," said Gou Zhongwen, vice-mayor of Beijing. He said the local government plans to make the telecom industry a new economic engine for the capital in the next three to five years.

Last month, about 20 telecom firms, including Jingxin Semiconductor and TechFaith Wireless Inc, signed a memorandum to invest 4 billion yuan in the new technology park.

Jingxi and Techfaith are both domestic telecom firms. They announced last year the purchase of the mobile chip business of the US chip maker Freescale Semiconductor, previously a division of Motorola. (...)

CNTF related - TechFaith Sub to Start "Fairy Life of the Q" CB

China TechFaith Wireless Communication Technology (Nasdaq:CNTF) subsidiary One Net Entertainment plans to start close beta (CB) testing of its licensed 3D Chinese fantasy MMORPG Fairy Life of the Q January 28, 798game.com reported. The CB version will feature new monsters, pets, and playing modes, and gamer data will not be deleted when testing is complete. Each player participating in the testing will receive 30 Q coins, Tencent's (0700.HK) virtual currency (1 Q coin = RMB 1).

http://www.jlmpacificepoch.com/newsstories?id=162144_0_5_0_M

TechFaith Sub to Start "Fairy Life of the Q" CB

China TechFaith Wireless Communication Technology (Nasdaq:CNTF) subsidiary One Net Entertainment plans to start close beta (CB) testing of its licensed 3D Chinese fantasy MMORPG Fairy Life of the Q January 28, 798game.com reported. The CB version will feature new monsters, pets, and playing modes, and gamer data will not be deleted when testing is complete. Each player participating in the testing will receive 30 Q coins, Tencent's (0700.HK) virtual currency (1 Q coin = RMB 1).

http://www.jlmpacificepoch.com/newsstories?id=162144_0_5_0_M

News from SINA: 35,100,000 registered game players in a half month

10 year most magnificent round net has toured "Deity Online" since the announcement, rapidly attracts by its huge theme and the dazzling quality is playing family's eyeball numerously, tours the market speaking of the domestic round net, this is a impact, is also a grand feast, "Deity Online" has assumed full responsibility 09 year round net You Lei many authoritative big prizes, becomes has deserved “most receives plays the family to anticipate that” a round net tours!

At present, "Deity Online" the Christmas sealed measures soon ended, did not delete in the files to measure that also officially marched into the countdown, plays the families to the anticipation which should do to achieve the most mountain peak, the game literacy class rose dramatically in short a half month to 35,100,000. Tours the writings until now as one section for the magnificent round net, "Deity Online" already, in various clathrias tour in the ranking to break a record repeatedly, becomes the New Year's greeting to lift a tripod the writings this year! (...)

http://games.sina.com.cn/o/n/2010-01-05/1000365111.shtml

(translated) http://babelfish.yahoo.com/translate_url?doit=done&tt=url&intl=1&fr=bf-home&trurl=http%3A%2F%2Fgames.sina.com.cn%2Fo%2Fn%2F2010-01-05%2F1000365111.shtml&lp=zh_en&btnTrUrl=Translate

Online-Gaming will be HUUUUGE!!!!..imho

4$?? LOL...IMHO we should already be over $5!!! :)

China wireless data service market to nearly double by 2013

http://www.digitimes.com/news/a20100105PR200.html

The release of 3G licenses in China is spurring a wireless data boom, with national revenues from such services rising by 18.95% in 2009 and nearly doubling from 2008 to 2013, according to iSuppli.

As the one-year anniversary of the issuance of 3G licenses in China approaches, wireless data revenues, including both messaging and non-messaging service, is set to reach US$19.3 billion in 2009, said iSuppli. By 2013, the revenues will surge to US$31.5 billion, increasing at a CAGR of 14.1% from US$16.3 billion in 2008.

Non-messaging revenues soon will exceed messaging revenue as carriers expand mainstream adoption of 3G services, iSuppli indicated. Non messaging service revenues will reach US$20 billion in 2013, up by a factor of three from US$6.8 billion in 2008.

"The rapid growth of China's data services is being enabled by the monumental spending of the nation's wireless carriers on mobile infrastructure equipment," said Will Kong, analyst covering China research for iSuppli. Kong said the carriers spent about US$6.3 billion on mobile infrastructure equipment last year, up 28% from 2008. This would represent a near-term peak, said Kong, adding that carrier spending will decline over 2010-13 but remain at a high level of more than US$5.5 billion annually.

China Telecom and China Unicom will place greater competitive pressure on China Mobile especially in non-messaging services, according to iSuppli. China Mobile already has lost substantial market share in terms of new subscribers.

Mobile subscribers at China Telecom and China Unicom will exceed 100 million and 200 million, respectively, in 2013, iSuppli forecast. Meanwhile, China Mobile's incremental market share will be stable at around 60% for the next few years.

Some financial institutions have expressed concern about the cash flow of China Telecom and China Unicom, and doubted whether the two will have sufficient capital to support their aggressive handset subsidy policies. However, iSuppli sees the situation differently.

iSuppli believes China Telecom and China Unicom will continue to subsidize mobile phones in order to provide attractive consumer prices. And both carriers will be supported by their parent companies, keeping them solvent.

CNTF pre-market UP on NEWS

China Techfaith Wireless Comm. Tech. Ltd. Completes Acquisition Of QiGi Future Technology Co., Ltd.
7:00am EST

China Techfaith Wireless Comm. Tech. Ltd. announced the completion of its acquisition of 100% of QiGi Future Technology Co., Ltd. (Beijing) (QiGi) in an all-stock deal valued at $12.0 million based on the closing price of the Company's ADSs on NASDAQ on July 28, 2009, which was $2.40 per ADS. The Company has also agreed to provide a $500,000 working capital line. Under terms of the agreement, the number of ordinary shares issued will be adjusted if QiGi does not achieve a net income of over $8.0 million for the fiscal year of 2010, and over $10.0 million for the fiscal year of 2011.