Wonder Why You’re Not Rich: DEER, CHRS, HEAT

Deer Consumer Products (DEER) Gains on Chinese Consumers; Charming Shoppes (CHRS) Rises on New Corporate Appointments; Smartheat (HEAT) Signs $10 Million in Agreements.

Jul 9, 2010 10:47:15 AM PDT | No Comment(s) - Post a Comment Rating

Trends, Observations, and Exclusive Opinion

Wonder Why You’re Not Rich?

Do You Buy at Deep Discounts? Here Are Three…

DEER: Undervalued at its Current Price

CHRS: Founded in 1940 Now operates 2,121 Retail Stores

HEAT: TTM Diluted EPS of +$0.56

First up this morning we have Deer Consumer Products Inc., (DEER) http://www.deerinc.com/ currently trading in the $7.92 range on a 3-Month average daily trading volume of 437,403 shares. DEER has a 52-week high of $18.97 set on 11-23-09 with current trailing twelve month revenues of $98+ million and a positive, corresponding diluted EPS of +$0.59. DEER is a market leader in the design, manufacture and sale of home and kitchen electric appliances, targeting the vast Chinese domestic consumer markets as well as customers in more than 40 countries worldwide. A lot of analysts think this is a $9-10 stock and I do too. DEER is a short-term (6 Mo) ‘Buy’ consideration for me.

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Next up we have Charming Shoppes Inc., (CHRS) http://www.charmingshoppes.com/ currently trading in the $4.07 range. CHRS has a 52-high of $6.91 set on 03-23-10 with current trailing twelve month revenues of $2.03 billion. That’s right; $2.03 billion in revenues for $4. I’ve written on CHRS before with a ‘Buy’ consideration and I’m sticking with that in the short-term. CHRS operates retail stores and related e-commerce Web sites under the LANE BRYANT, LANE BRYANT OUTLET, FASHION BUG, and CATHERINES PLUS SIZES names. As of January 30, 2010, CHRS operated 2,121 retail stores. CHRS was founded in 1940. The Co just named Marla C. Anderson as president of its Lane Bryant outlet business, effective July 12. Anderson previously served as president and CEO of Lady Foot Locker. She succeeds MaryEllen MacDowell who was promoted to president of Fashion Bug in June. Congrats and good fortune to both.

Finally this morning we have Smartheat Inc., (HEAT) http://www.smartheatinc.com/ currently trading in the $6 range on a 3-Month average daily trading volume of 745,211 shares. HEAT has a 52-week high of $18.60 set on 01-11-10 with trailing twelve month revenues of $85+ million and a positive, corresponding diluted EPS of +$0.56. HEAT, a U.S. company with its primary operations in China, is a market leader in China's clean technology energy savings industry. HEAT manufactures standard plate heat exchangers, custom plate heat exchanger units, and heat meters. HEAT’s products directly address air pollution problems in China where massive coal burning for cooking and heating purposes is the only source of economical heat energy in China. In June HEAT entered into $10 million in agreements with leading district heating companies in three cities in China. HEAT is a short-term ‘Buy’ consideration for me.

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Dennis Askew is a paid contributor of the SmallCap Network. Dennis Askew's personal holdings should be disclosed above. You can also view SmallCap Network's complete disclaimer and disclosure.

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