I liked PAX Global Technology (OTC:PXGYF) back in January,
but I'm not going to pretend that I saw an 80% gain (for the Hong Kong
shares) in the subsequent seven months as the expected outcome.
Management has ramped up its distribution capabilities faster than I
expected and is continuing to make the most of strong growth in the
adoption of credit and debit cards in China and other emerging markets.
With a significant focus on internal R&D and a stated goal of buying
its way further into payment services and software, I believe investors
can expect a long run of double digit free cash flow and good long-term
stock performance.
Readers should note that buying these shares
will take a little extra work. For liquidity reasons, I would encourage
readers to buy the Hong Kong-listed shares (0327.HK) - most major U.S.
brokerages now allow trading on major foreign markets and the
commissions are not bad (though buying shares for a retirement account
may not be allowed). I would be surprised if the company didn't
ultimately pursue a sponsored ADR, but that may not happen for some
time.
Follow this link to the full article:
PAX Global Technology - Exceptional Growth And Exceptional Performance
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