Yesterday, Motley Fool had another negative report on Chinese stocks, and in particular, HOGS. After a visit to China, they liquidated there entire holdings in HOGS, but only because of lack of transparency with regard to their earnings and outlook. They dont actually downgrade the company; as a matter of fact, they state they were very impressed with their facilities and cleanliness!! Mixed feelings!!
Fidelity news has a source which rates companies for Accounting & Governance weekly. Here's how they Zhongpin a few days ago:
" ZHONGPIN INC. (HOGS) is currently rated as having Conservative Accounting & Governance Risk (AGR?), receiving an AGR score that places them in the 97th percentile among all companies in North America rated by GMI, indicating higher accounting and governance risk than 3% of the other companies. "
Zhongpin is rated higher than 97% of all companies in NORTH AMERICA. Not 97% of all companies in China, but 97% of all companies in NORTH AMERICA !
If Zhongpin is rated higher than 97% of all companies in Noth America for Accounting and Governance then HOGS must be nearly the most, or the most, transparent company in all China.
This Motley Fool article looks like they're trying to replace Seeking Alpha as the shorts' vehicle of choice for blowing smoke.
Yes I use Fidelity also. I subscribe to many paid services. One was Motley Fool. I finally dumped it. They are very poor at choosing stocks to invest in. They talk up their winners no ends but hardly mention all their losers. I could go on and on but on their trips to various countries I think they eat, drink, and tour without doing the work investigating the company.