Replies to post #134595 on Value Microcaps Motherboard

[hweb2]

wade, re China stocks

Ok I'll bite...why will this week be the bottom? US market looking very weak. Quality smallcaps being thrown away. Why would people start buying incredibly risky China names?

WKBT announced yesterday that Grant Thornton verified the $2/share in cash the company has on its books. Yet the stock is struggling to hold $1!

[researcher59]

Wade: the China microcaps have been going down since January 2010, a period of 17 months and counting. Even at these incredibily low PE's, none of them are buying back any shares. That's a glaring lack of fiduciary duty and while one can't directly call it fraud, it's tantamount to fraud. They've made a mockery of shareholder interests and I consider them all junk, way below investment grade.

The ChinaMicro100 Index (CHVMC11) is making new lows again today ....

[rocketeer357]

All it takes is dividends. The justifiable suspicion around this sector won't tolerate anything else, including low PEs, amazing revenue and income growth and supposed share buybacks.

You know this. I know this. The investment community knows this. So why aren't these companies paying dividends that reflect their amazing value?

[wadegarret]

making the call again

on selected Chinese RTOs and IPOs. I believe the shorts have finished and are moving on, and selected severely beaten down picks are prime for a nice rally. You'll find the link within this post to my very first call on June 8 about which stocks I like. My favorites are YONG($5.25), AERL($7.90), GFRE ($3.20), CNTF ($3.88), and CCCL(4.58). All have gone up since my June 8 call except CNTF. Funny thing is, CNTF at $3.88 is my favorite pick of em all, and my avg in that one is now $4.40.

I am now down 80% on my beginning Jan 1, 2011 net stock portfolio value. I would have to make 400% from here with no cash infusions to make that back. Now where's that darn rabbits foot !