Beverly Hills 1/26/2010 3:32:08 AM
News / Business

How Can We Help Clean Up China?

Financial World News Update by EQUITIES Magazine

A key factor in China’s stock market recovery last year was energy stocks. For the year as a whole, alternative energy shares jumped over 150 percent compared with a 74 percent rise in the Shanghai A-share market. Already this year, stocks calculations are about 40 times earnings among much of the group.

 

Still, clean energy and natural gas companies are looking promising because of government support of clean energy and natural gas reform. Analysts are saying those factors will create a booming cycle for clean energy and gas operators.

 

The beneficiaries of this trend would be companies that distribute gas in urban areas. The Chinese government is aiming to increase natural gas to 9% of the country’s energy mix by 2016, up from 3.5% today. That means that city gas distribution companies will expand, and be aided in that growth by the government.

 

Other places to invest in the Chinese clean energy initiative are companies that supply equipment to energy producers, including the nuclear power industry, which is benefiting from government efforts to limit investment in coal-fired plants.

 

About EQUITIES:

 

Since 1951, EQUITIES Magazine has been a leading media company providing business editorial content designed to serve the needs of business leaders, professionals, institutional investors and retail investors. We are focused on business and the business of making money, not on lifestyle subjects. We publish original reporting in print and on our website, as well as select content at www.nasdaq.com. For 28 years we have hosted our own branded investor conferences that connect public company CEO’s with our loyal readers in the investment community.

 

Sign up for a free one-year subscription to EQUITIES Magazine