ACL Semiconductor has 2500+ employees and is the main supplier of flash memory chips and other related chips to Samsung, one of the biggest electronics makers in the world.
ACLO.OB is supplying chips for Apple IPhone and other devices to operate on the new 3G ( full mobile internet) networks.
Right now the demand for memory chips is huge. Prices are up 33% in July and August and margins, which were very thin, look to be expanding nicely.
How can it get better for ACLO.OB? A main memory chip rival did not survive the recent down turn and went out of business.
So, putting this all together its not hard to see why ACLO.OB is being scooped up right now.
Here are some good DD links.
ACLO.OB closed just below 1.00. Imho, It makes perfect sense for thsi one to head much higher.
NOTE: I follow China closely and have never heard of this company until a few weeks ago. Based on the stock price its clear I wasnt alone........lol
China Unicom 3G launch. They have approx. more customers then every phone company in the USA has put together
From the recent earnings report concerning their rival, Qimonda AG, going out of business:
"After the insolvency of Qimonda AG, the Company has recorded increasing demand for Graphic RAM products due to limited supplies. The Company also recorded increasing demand for consumer electronics products in the PRC market such products require the usage of FLASH products. In addition to strong demand in Southern China, demand by Apple for FLASH products for its newly launched iPhone 3G S was also strong."
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