China-Biotics, Inc. (CHBT)

[BigOnChina]

I've been long this stock for over 16 months now and I continue to find every reason to like it. With that being said, let's keep in mind that fast growing companies often go through some growing pains and it's not going to be a one way trip to $100 a share.

While the earnings this quarter should be solid, I'll be interested to see how much cash is being laid out for expansion. This could certainly dent the short term view on the stock with a lower EPS than expected but would keep my long term view in tact. I'd like to see major investments being made which would bolster the arguement that demand is strong.

Personally, I hope they completely blow the quarter, the stock falls, and I pick up more shares on the cheap. I just don't think that's going to happen. CHBT hits $17.00 by the first week of Sept.