Harbin Electric (HRBN)

[2morrowsGains]

HRBN's growth...Harbin now has 160 employees compared to 120 at y/e 2004. Also, the opening of corporate offices in Pennsylvania signals that it's just a matter of time before we have news on International sales. (News of a listing on a higher exchange would be nice too.)
Last month when they announced the hiring of Raeburn, he made a comment that kind of sums up where Harbin is headed..."The market for our linear motors and other electric motor products in China alone represents a substantial opportunity for growth. Our corporate development initiatives, which are already underway, will broaden the customer base and enhance Harbin Electric's overall exposure in the global marketplace."

Cash increased from $3.7M last quarter, to $5.6M this quarter. Shareholder equity increased from $15.4M to $23.3M.
A PE of 20 based on Harbin's growth and projected $0.70 - $0.75 eps for y/e 2005 equals a $14.00 - $15.00 share price.
HRBN still looks undervalued in the 7's.