China Growth Stocks

[snow]

rato

I agree that there is a definite risk that some of these companies are swindles as are some US companies. I have been swindled by several US companies. I also agree that you should not put all your eggs in one basket and not invest in only these Chinese microcaps. But I don't agree that most of these companies are swindles. Few swindles have been proved so far.

I checked the operating margin of MSFT. It was about 45%. The operating margin of CKGT during the first quarter this year was about 20 %. The company has very little debt. The stock would objectively be very cheap in relations to p/e ratio if profits were 25% of those published. Several Americans have tested their cigarettes. They are a real company. To me this stock and many others look great buys at the current pps.