CHINA

[lancefur]

Despite all this good news and the price continuing it's up and up trend, is there still room for it to grow? Is CDC undervalued or is this still a good long term play. I sold it with a good profit when it was a recommendation on the 3SOF portfolio but wouldnt want to lose that on a bad entry pointy now. I see a positive MACD but not sure if the technicals still support a postiive trend. Please advise.

[ScottishTrader]

CHINA update:  continued strength for CHINA, 13ema has been supporting price action very well so far.  A little pullback after breaking out to 10.50, i'm looking for it to bounce back into the 10s next week.  A word of caution though, it also looks like there is a rising wedge formation, and the price is a long way from the longer term ascending trendline.  There are potential negative divergences on MACD, RSI and CCI so I wouldn't give it too much leeway.  Strong support at 9.40, resistance at 10.50.

[ScottishTrader]

Watch for a big volume breakout day on CHINA today:

CDC Mobile Announces Strategic Agreement with Nokia
http://biz.yahoo.com/prnews/070129/hkm003.html?.v=36

They have been putting out the PRs a lot last week about investment from CDC Mobile, and I thin that this could be the playmaker that gets things going for the stock price.

Currently up at 10.30-35 PM.  Looking for CHINA to break 10.50 today

[Melf Elf]

Watch for a big volume breakout day on CHINA today:

Currently up at 10.30-35 PM.  Looking for CHINA to break 10.50 today

Scotsman,

Interesting.  I've been wondering if this is a Bearish Wolfe Wave in CHINA.

It's currently right at the 10.55 high of Wave 5.  BID 10.53...ASK 10.54.  A "Gap To Crap" right here is a possible Double Top.  Looks like it needs to "Gap and Go." 

Thanks for the Heads Up.  Applause.

[ScottishTrader]

well at the moment it looks like its "gapping to crapping" 

[Melf Elf]

well at the moment it looks like its "gapping to crapping" 

Scotsman,

Yeah, I put an order in to short it at 10.54, but it opened well under that.

It looks like a horse that came fast out of the gate, and then got boxed in along the rail.

It might as well have gone all the way down and filled the gap at 10.15 from Friday's high since it went to 10.20, then tried for a move to the outside, but it stopped at 10.20 and now is boxed in along the rail.

Possible little Inverse H&S that measures back to the opening price (roughly), but if it goes back up there and closes under the 10.55 recent high, it likely will put another Bearish Hangman on the chart.

[Melf Elf]

Sorry, I put up the wrong chart.

[ScottishTrader]

well CHINA got that break to the upside.  As far as i can tell that little inverse H&S measures up to 10.50.  Of course, I'm looking for more, bu it does concern me that CHINA has been releasing a lot of positive PR lately with little share price response.  I'm holding out on this one to see if it has the strength today to break 10.50.

[Melf Elf]

well CHINA got that break to the upside.  As far as i can tell that little inverse H&S measures up to 10.50.  Of course, I'm looking for more, bu it does concern me that CHINA has been releasing a lot of positive PR lately with little share price response.  I'm holding out on this one to see if it has the strength today to break 10.50.

Scotsman,

Shes at your 10.50 now.  I wanted it short at 10.54, at the open, but I won't short it now.  Let's see if she can push on to new highs.  Good luck!

[ScottishTrader]

No updates on CHINA in a while.  After the ugly gap down at the end of Feb, it looked like China was ready to make an earnings related reversal, just peaking its head into the gap just before the close on Wednesday.  However, it was not to be.  Despite beating analysts revenue estimates, and meeting net earnings estimates, thier earnings were brought down into a loss after some one time charges, and this brought the stock down. 

Overall, earnings were good - revenue was up 43% over the year ago quarter, primarily based on strong growth in their enterprise software and online gaming businesses, and it looks likely to continue - they re-affirmed their 2007 estimates of $57-62M adjusted net income on $415-420M revs a conservtive year on year increase of at least 60% and 35% respectively, from 2006.  Whether they will have further one off charges that offest their earnings is unclear.  In addition they provided an update to their share buy-back program - they have already re-purchased approximately $27.7M of a total of $40M worth of shares, which would represent just under 5% of their total market cap.  They say they have already re-pruchaed 6.1M shares (which would mean they paid an average $4.54 for them - dunno how they managed to get them so cheap!!!) but with the rest of their buy-back cash they could pick up about 1.35M shares at current levels (just over 1% of their float - so not a huge amount, but it is still a positive sign).

I think that this is clearly a company that is continuing to gain traction in its various markets and if it can maintain growth at 30%+, this should be priced well in the mid-teens, so percieve this dorp as a good buying opportunity.

Technically, CHINA tested support at 8.70-72 on Friday, and managed to peak its head above $9 into the close, leaving a nice potential reversal candle, although I'd like to see it get above thursday's candle mid-point at 9.11.  $9.10 looks to be resistance, so that seems to be about right.  An entry at 9.12 with a stop at 8.70 would represent a risk of just over 4.5% - acceptable given the company's bullish prospects.  The only thing to note is that there does look to be a sizeable H&S top on the chart with a neckline at 8.30 (or possibly 8.70, if you take the angled neckline, in blue) that would have a downside target of $5.55.  Also, the price action over the last month has been below the 50MA, which is currently just starting to turn down, another negative sign. 

Still, with a stop in place, barring a downside gap, I think the position is reasonably well protected, and with revenue growth going forward, I see CHINA doing well during 2007.

[dehati]

We will have to look at not only CHINA but all Chinese ADRs. A list of Chinese ADRs can be found at

www.diggsamachar.com/chineseadrs/

- dehati

[setravis]

ATLANTA & HONG KONG, Dec 16, 2008 (BUSINESS WIRE) -- CDC Software, a wholly-owned subsidiary of CDC Corporation (CHINA, Trade) and a provider of industry-specific enterprise software applications and business services, announced today that its Ross Enterprise application was selected as the only ERP software vendor included in the development of a Food Safety Information Management Platform (FSIMP), and related service outsourcing, that is expected to be used by the food industry in China's Henan province. Henan is currently the most populous province in China and is known for its rapidly-growing food manufacturing industry.

CDC Software has partnered with VITOVA Limited, a leading independent software vendor (ISV) in the enterprise content management (ECM) industry that has been contracted to set up an outsourcing center in Henan that will provide the FSIMP. Food producers are expected to use this platform on a subscription as a services (SaaS) basis to help them comply with applicable laws, rules and regulations. VITOVA selected Ross ERP for its deep vertical specialization in addressing unique challenges in the food and beverage industry, including the need for detailed product costing and profitability analysis, management of pricing and promotions, optimized forecasting and scheduling, improved order fulfillment and customer service, inventory optimization with minimal spoilage, and compliance with food safety regulations and mock recalls.

"The goal of the FSIMP is to address the major concerns faced by China's food industry, including food safety, regulatory requirements and operational management," said Mr. Aldous Ng, CEO of VITOVA Limited. "We knew Ross ERP's key focus was addressing these concerns and felt they would be a perfect fit for the platform. We're looking forward to experiencing the same kinds of successes as other Ross ERP customers in the food industry worldwide."

"We are very excited that our ERP solution was selected for this very important project for China's largest province," said Ian Whitehouse, Country Manager, CDC Software. "We believe that our selection to participate in the development of this FSIMP is a testament to our established leadership in the food manufacturing segment. Our Ross ERP solution for the Food and Beverage industry specifically addresses that market segment's unique business processes, especially in the area of food safety, traceability and regulatory compliance."

About Ross Enterprise for Food & Beverage

Ross Enterprise is CDC Software's comprehensive suite of applications for food and beverage manufacturers. The suite of applications includes enterprise resource management (ERP), supply chain management (SCM), warehouse management, customer relationship management, real time performance management and business analytics. Together, these systems address the unique challenges in food and beverage including the need for detailed product costing and profitability analysis, management of pricing and promotions, optimized forecasting and scheduling, improved order fulfillment and customer service, inventory optimization with minimal spoilage, and compliance with food safety regulations and mock recalls. Ross Enterprise is used worldwide by more than 1,200 companies including Boar's Head, Kerry Ingredients, Cheesecake Factory, Pez Candies, Nellson Nutraceuticals, Hilmar Cheese, Michael Angelo's and Litehouse Foods. For more information, visit www.rossinc.com.

For more information, visit www.rossinc.com.

About VITOVA

Based in Hong Kong, VITOVA is a leading Independent Software Vendor (ISV) in the Enterprise Content Management (ECM) domain. VITOVA develops software tools to connect people to relevant information. VITOVA's software helps to reduce the time needed for searching information while increasing the relevance of the information found. The company's product family has won many awards including Microsoft Best ISV of the Year 2007 and 2005 in Hong Kong; 2006 Microsoft Partner Program Award, Winning Customer Award, Regional Winner of Greater China; 2006 Microsoft Partner Award, Data Management Solutions Technology Innovation Finalist; 2005 Microsoft Partner Program Award, ISV/Software Solutions Technology Innovation Finalist; 2003 and 2002 Hong Kong Awards for Industry and Hong Kong IT Excellence Awards 2001.

About CDC Software

CDC Software, The Customer-Driven Company(TM), is a provider of enterprise software applications designed to help organizations deliver a superior customer experience while increasing efficiencies and profitability. CDC Software's product suite includes: CDC Factory (manufacturing operations management), Ross ERP (enterprise resource planning) and SCM (supply chain management), CDC Supply Chain (supply chain management, warehouse management and order management), Pivotal CRM and Saratoga CRM (customer relationship management), CDC MarketFirst (marketing automation and lead management), Respond (customer complaint and feedback management), c360 CRM add-on products, industry solutions and development tools for the Microsoft Dynamics CRM platform, Platinum HRM (human resources), and business analytics solutions.

These industry-specific solutions are used by more than 6,000 customers worldwide within the manufacturing, financial services, health care, home building, real estate, and wholesale and retail distribution industries. The company completes its offerings with a full continuum of services that span the life cycle of technology and software applications, including implementation, project consulting, outsourced business services, application management and offshore development. CDC Software is ranked number 8 in the Top 20 Supply Chain Management Software Suppliers by Modern Materials Handling magazine. For more information, please visit www.cdcsoftware.com.

About CDC Corporation

The CDC family of companies includes CDC Software focused on enterprise software applications and services, CDC Games focused on online games, and China.com focused on portals for the greater China markets. For more information about CDC Corporation (CHINA, Trade), please visit http://www.cdccorporation.net/.

Cautionary Note Regarding Forward-Looking Statements

This press release includes "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, including statements relating to the ability of our products to help, and our expectations and beliefs with respect to the future implementation of the Food Safety Information Management System in China and our participation in it, our expectations regarding the establishment of an outsourcing center by VITOVA, our beliefs regarding the use and acceptance of the FSIMP by the food industry in China and the ability of our products to meet the needs of customers, our beliefs regarding the future success of our customers, our beliefs regarding our leadership position in the food manufacturing segment, our beliefs regarding the functionality of our products and the effects thereof on our customers' businesses and other statements that are not historical fact, the achievement of which involve risks, uncertainties and assumptions. These statements are based on management's current expectations and are subject to risks and uncertainties and changes in circumstances. Results will vary from customer to customer depending on each customer's particular facts and circumstances. There are important factors that could cause actual results to differ materially from those anticipated in the forward looking statements including, among others: the conditions of the process manufacturing industry; the continued support of our existing customers; the continued ability of Ross Enterprise solutions to address industry-specific requirements of companies in the process manufacturing industry; demand for and market acceptance of new and existing Ross Enterprise solutions; development of new functionalities which would allow process manufacturers to compete more effectively and changes in the type of information required to compete in the process manufacturing industry. Further information on risks or other factors that could cause results to differ is detailed in filings or submissions with the United States Securities and Exchange Commission made by CDC Corporation in its Annual Report for the year ended December 31, 2007 on Form 20-F filed on June 30, 2008 and amended on September 15, 2008. All forward-looking statements included in this press release are based upon information available to management as of the date of the press release, and you are cautioned not to place undue reliance on any forward looking statements which speak only as of the date of this press release. The company assumes no obligation to update or alter the forward looking statements whether as a result of new information, future events or otherwise.

SOURCE: CDC Software


 
CDC Corporation   
Investor Relations   
Monish Bahl, 678-259-8510   
[email protected]   
or   
CDC Software   
Media Relations   
Lorretta Gasper, 678-259-8632   
[email protected] 

Copyright Business Wire 2008

[setravis]

CDC Corp. games unit sees 2Q revenue up by 50 pct
Games unit of CDC Corp. sees 2Q revenue up by 50 pct from prior quarter
On Monday July 20, 2009, 3:26 pm EDT

SHANGHAI (AP) -- The games unit of CDC Corp. said Monday that a rebound in core game Yulgang is expected to boost second-quarter revenue by 50 percent from the prior quarter.

CDC Games, which provides online and mobile games, said the revenue jump is mainly due to the release of version 3.0 for Yulgang called Nan Lin Feng Yun in March. CDC Games reported revenue of $6.3 million in the first quarter.

Yulgang is a game based on a Korean martial arts comic with the same name. The update includes a new map system, 16 new monsters and a new battlefield.

CDC Games expects the revenue growth trend will continue with the version 3.0's launch. For the second half of the year, the release of "The Lord of the Rings Online" and other versions of existing games is expected to boost results.

Shanghai-based CDC Games serves more than 160 million registered users. CDC Corp. sells enterprise software, IT consulting services and owns Internet portal China.com.

Shares of CDC Corp., based in Hong Kong, were up 3 cents to $2.19 in afternoon trading.

[setravis]

High tide on CHINA...

Dream Stocks for Internet Investors
Investors are always hunting for the next big stock -- the dream stock whose price increases several times over when the market finally discovers it.

CDC has nonetheless seen a strong response to the launch of its newest game, Yulgang. Average daily revenue has increased 45%, and 78 million players are registered for the game. It will follow up this success with the launch of The Lord of the Rings Online in China in the second half of this year and preliminary test data show a very high activation percentage among users.

Revenue Growth Rate, Past 3 Years
19.7%

Gross Margin
51.9%

52wk Range: 0.65 - 3.19
Volume: 6,733,542
Avg Vol (3m): 1,175,690

Technicals
Percentage Gainer

Last Price Quote is:
49.09%above 13-day MA
90.87%above 50-day MA
RS Rating: 49 

Fundamentals
Earnings Expected on Aug 6

Key Data:
Market Cap (M): $338.45 
P/E Ratio: 78.27 
PEG Ratio: 0.926667 
Next Earnings: 08/06/2009
Last Analyst Rating: Outperform