M-Wave, Inc. (Symbol: MWAV) is a value-added service provider of high-performance printed circuit boards used in a variety of digital and high-frequency communications applications for a variety of telecommunications and industrial electronics applications. I have to be honest with you, I don’t know much about this industry - especially the products that they offer.

However, when I was doing my research and found this company, I was pretty impressed to see how much their price/share has increased in the past 6 months (see below). Currently the stock is traded at $1.55/share - increased by 11% today.

For the nine months ended 30 September 2005, M-wave, Inc.’s revenues rose 22% to $16.6M. Higher loss reflects higher cost of goods sold, increased general & administrative expenses, higher selling & marketing expenses, lower interest income, increased interest expense and impairment of investment.

I have noticed that the price/share started climbing when they successfully raised $6.5 Million in equity - which includes elimination of $4.6 Million of debt (read here). Their 52 week high is $2 and 52 week low is $0.29. Since they’re currently traded at $1.55/share, I’m pretty sure sooner or later their price is going to hit $2/share again. Again, as I’ve said before, I’m not really familiar with their industry and their product; however, looking at the direction where the stock price is going, this might be a good investment. A short-term investment, I’d say.

Quote of the Day:
He that is of the opinion money will do everything may well be suspected of doing everything for money. - Benjamin Franklin

China Digital Communication Group (Symbol: CHID) is actually a US corporation based in Shenzen, one of China’s key manufacturing centers. They manufacture components for batteries used in mobile phones, digital cameras, PDAs, laptops, and other digital devices. Their main goal is to become the largest telecom-equipment producer, marketer, and distributor with a significant presence in the US market as well.

Recently they announced that they have entered a product test agreement with one of the US’ leading computer retailers and resellers of technology products and services. Based on the agreement, the retailer will see China Digital’s lithium ion batteries in 20 of its retail stores nationwide and its e-commerce website. Pretty good, heh?

China’s domestic mobile phone market is expected to increase in 2005 to 570 million units, up from 450 million in 2003; while the worldwide market will increase to 2.52 billion from 2.16 billion. In other words, this will benefit China Digital Communication Group since their domestic battery sales in China are expected to rise to $2.1 billion in 2005 (up $264 million from 2004).

The past three months (Oct’ 2005 - Dec’ 2005) the stock has been going crazy. I can’t really decide whether this would be a good short-term or long-term investment. The numbers are good (their net income increased by 478% and revenue increased by 242% year-over-year in Q3 2005), the prospect is great, and they are one of the leading companies in their industry in China.

I’ll let you decide on this one

Quote of the Day:
I don’t skate to where the puck is, I skate to where it’s going to be. - Wayne Gretzky