Replies to post #56021 on China Growth Stocks

[GorillaGorilla]

CELM - Estimates Q3 Rev 30-31M, NI 4.3 to $4.7M and EPS 0.20 to 0.22. FY Rev $110 - 120M. Which means they think Q4 Rev is around $38M NI around 7 Million [1]. So you can see the ramp-up in the Q/Q numbers.

10-K says there's no seasonality "Our business is not seasonal in nature"[2]. 2009 showed no seasonality other than Q1 was weaker, however, they were capacity constrained so doubt it would show anyway.

So, that should play through 2011. The deals they do are short term - this means they react to upswings quickly by adding on new lines of business and of course would be open to a downturn - though they do have a backlog.

Consequently, I can only go on management guidance on estimates.

rich

(response to question - should have said as it's FAQ)

[1] http://szmotor.investorroom.com/index.php?s=43&item=24

[2] http://www.sec.gov/Archives/edgar/data/1421526/000114420410016950/v179203_10k.htm

[ratobranco]

CELM - agreed, Dexter Fong is the most investor-friendly CEO in the space IMO, hands down. Very responsive. Also, they have very good operating cash flow, they keep piling on more cash every quarter.