Bookkeeping: Closing Zhongpin (HOGS)

For many of the same reasons as the closure of WuXi earlier today I'm closing the 0.6% stake in Zhongpin (HOGS) and booking about a $1400 total loss. I continue to be very bullish on the Chinese hog market but this has been effectively dead money since we started the stake in January 2008. I was impressed with what AgFeed (FEED) did yesterday [Aug 25: AgFeed Addresses Naked Short Sellers - Stock up 17%] and know this is a favorite of The Yellow Rose Street Beat, and they have similar profiles so if/when I jump back into this group I'll have to decide which is better. Actually the chart for HOGS is far better than the crazy action in FEED.


HOGS 2008 forward PE ratio = 10.6
FEED 2008 forward PE ratio = 11.6

Both have market caps in the $300-$400M range.

Right now there are simply a multitude of very undervalued Chinese small cap stocks, trading at depressed multiples...