China MediaExpress Holdings, Inc. (fka CCME)

[Shengli]

CCME article


http://china.fixyou.co.uk/2010/05/growth-and-shareholder-dilution.html

Growth and Shareholder Dilution
posted by The Traveller on Sunday, May 30, 2010

In the China Small Caps space we find very many companies that grow net income by 30% and more year-over-year, so we can safely categorize them as 'Growth Stocks' by definition. However, it isn't actually net income growth that matters for valuation, it is EPS growth -- and here the picture can look quite different if we go into detail. Shareholder dilution is a common problem amongst US-listed Chinese stocks and while I do fully understand the need to raise money to fund growth, we have to look if the significant increase of the share count does actually translate into EPS growth for shareholders.

Let's have a look at seven randomly selected names in the China space, seven stocks that cover a variety of industries. All are traded on senior US exchanges.