NetEase

Of course if you want all the growth of a Chinese online megatrend focused around the eye of the tornado - online gaming (the largest market in the world) and online dating without an Ali Baba or Amazon market cap then you could look at NetEase - the cheapest and fastest growing Chinese online player at only 1/10th of Ali Baba’s price. It’s also a play on Activision Blizzard an SA recommendation if you wanted.

It has an historic PE of only 23.6 and has just announced 96% revenue growth and over 100% EPS growth.

http://seekingalpha.com/news/3204145-netease-gains-earnings-…

http://seekingalpha.com/pr/16581505-netease-reports-second-q…

But for the China factor this would be a classic Saul stock. Profitable, very fast growing and accelerating and cheap.

Ant

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I too like NetEase. I originally purchased the stock at various times through 2006/2007 at an average price of $22/share. It has performed nicely over the years.

I think it has a lot of legs left in it. Growth has really accelerated over the years.

Best,
–Kevin

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Except…being Chinese gives a lot more uncertainty…

Maybe but if it wasn’t Chinese in China it wouldn’t have the gaming potential there is there.
Have to take the risk with the reward on this one.
A