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Strategies & Market Trends : Bosco & Crossy's stock picks,talk area

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To: Ed Ajootian who wrote (34763)12/10/2010 3:52:49 PM
From: Crossy  Read Replies (2) of 37387
 
re: HEAT - Smartheat Inc (Nasdaq: HEAT $5.60 +9%)

Ed,
revisiting your Smartheat play, I think that NOW the time is ripe for a safe, low-cost entry into this high-growth niche. I never disputed the credentials of the company but at EV/R in excess of 5 earlier this year I had my reservations regarding the valuation metrics.

Right now, at an EV/R of around 1.5, it'S an entirely different matter. This PRC related play is now even cheaper than WFI.TO (Waterfurnace), one of the market leaders in geothermal heat pumps and advanced HVAC solutions in North America.

with valuation risk removed, imho the time appears right for smartheat Inc. (Nasdaq: HEAT) at this point ! The stock has been gathering momentum recently for a nice year-end rally.

rgrds
CROSSY
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