Tag - GIS

China's economy is still on a roll. Maybe not at the breakneck speed of the past decade, but the economy is still growing at a comfortable 9-plus percent.

The China Academy of Social Sciences most recent GDP forecast calls for 2010 economic expansion to finish 2010 at a 9.9 percent rate, with similar growth in 2011. The government think-tank predicts greater stability in China and little change in the government’s macroeconomic policies. The World Bank has projected China’s economy will grow 9.5% this year and slow to 8.5% next year.

Today, we look at a trio of stocks that could be considered micro-caps, as their market capitalizations are all well below the $100 million mark. Given their small size, readers should be aware of the inherent risks; nevertheless, not only is each selected by a top newsletter, each is also selected as a favorite speculative stock for the coming year.
 
Tony Sagami, editor of The Asia Stock Alert, says “My favorite speculative, home-run idea for 2008 is Man Sang Holdings, Inc. (AMEX: MHJ).” 
 
“I run at a pretty fast pace when I’m in Asia as every day is packed with factory tours,” Sagami says. Despite this hectic schedule, he says, “When I was in China in May, I postponed my entire South China schedule because what should have been a one hour meeting at Man Sang turned into two full days of tire kicking and fact checking.
 
“Man Sang Holdings is one of the leading pearl merchants in Greater China. The company primarily sells in the U.S., Europe, and Asia such as QVC,” he says. “I’m not talking about a fly-by-night, newbie business. This company has been operating for decades ... and it’s been extremely profitable over the years.
 
“I’ve been doing this for 23 years,” he says, “and Man Sang Holdings is the most undervalued stock market bargain I have ever seen. I consider this an undiscovered gem.”
 
Tom Bishop, editor of BI Research, says, “My favorite speculative idea for 2008 is NutraCea (OTC: NTRZ).”

Rice, he explains, is the most consumed food on the planet and NutraCea has found a way to process rice bran into an “extraordinarily nutritious food ingredient/nutraceutical.  
 
“Companies such as General Mills, Inc. (NYSE: GIS), Sara Lee Corp. (NYSE: SLE), Archer Daniels Midland Company (NYSE: ADM) and Purina want to boost the nutritional value of their products.” He says that over 500 companies have signed confidentiality agreements with NutraCea to look into reformulating their products.