China Finance Online Co Ltd JRJCY

JRJC A Stock Primed To Quadruple; $13 Price Target !

[mumu55]

3D Analytics Long/short equity, deep value, special situations, arbitrage Profile| Send Message| Follow (428) China Finance Online - A Stock Primed To Quadruple; $13 Price Target Jun. 4, 2014 9:44 AM ET | 10 comments | About: China Finance Online Co. Limited (JRJC) Disclosure: I am long JRJC. (More...) Summary •Precious-metal trading business generating significant growth. •Net revenues increased by 400 percent year-over-year in Q4 and 76 percent over full-year 2013. •JRJC pre-announced record first-quarter revenues. •JRJC has $1.67 cash per share and no debt. •A peer-group comparison shows JRJC is significantly undervalued and worth about $13 per share. Introduction China Finance Online Co. Ltd (JRJC) is cheap and rapidly growing, which is creating monster potential for investors. The latest reported quarterly revenues rose 400 percent compared to the same period the previous year, and as a result, the company returned to profitability for the first time in 11 quarters. JRJC pre-announced record first-quarter revenues and presently has $1.67 cash per share and no debt, all of which makes the stock a promising investment. 3D Analytics has completed a thorough review of JRJC and determined the stock is grossly undervalued. Consequently, we assign a buy rating with a $13 price target, which is quadruple the stock's current levels. Background JRJC is the only Chinese web-based financial information/service company listed on a major U.S. exchange. Both its portal sites, jrj.com and stockstar.com, are highly ranked on alexa.com, making us confident JRJC will sustain and grow revenues.