Baidu.com (BIDU)

It has had difficulties this year because of Chinese limits on advertising. Also, they have to certify that healthcare advertising is legitimate. In a quarter or two it will be a time to buy it. They have 80% market share of search in China.

(Top Pick Jun 15/15, Down 15.24%) The Chinese government has imposed stricter regulation on advertising and it will impact their results for 2 to 3 quarters. He still feels good about them.

For the multiple you pay, this has a fantastic growth rate. PEG is at about .6, which is very attractive. The beauty of this is that they get to see what Google (GOOGL-Q) does right and does well, and then they copy it. On O to O (online to offline) they announced increased capital expenditure, and the market took that as a negative. He views it as a positive. Feels there is huge opportunity in China. The Chinese are very sophisticated with respect to consumption online, and this company wants to capitalize on that because they have a tremendous user base.

(Top Pick Sept. 11/14, Down 35.94%) They want to transform themselves into an E-commerce leader. They are spending a lot of money on this. This one still has a lot of room to run.

He had about a 10% weighting in China until about a month and a half ago and then ditched it all. Doesn’t like the look of the market overall. The chart looks like the stock is testing the old low right now. Doesn’t think he would buy this, it is still in a downtrend.

They have been investing a lot of capital into the mobile platform. It is founder lead. Their investments have always paid off. They are growing at a rate of 30% with a 22 PE. It has outperformed GOOGL-O over 5 years. If you missed GOOGL-O you can still have BIDU-O.

The Google of China. In two years they figure the Internet economy will be the same size as in the US and they will be as big as Google.

A search engine in Asia. Has done very, very well. Has owned it in the past and really likes it. This is a name that he would want to own, but in a risky portfolio.

Reported greater earnings recently. Chart shows it has spiked higher, and it essentially has created a gap. We essentially could see a fill of that gap by a downwards movement of about 5%. Trading well above its significant moving averages. Seasonally, Internet stocks tend to do pretty well into September and October.

Doesn’t know the company well, but a great way if you want to participate broadly in China, e-commerce and growth in the Internet. Generally, it is probably not a bad name to add if you want exposure here.

This is China’s Google. Have done a great job of catching up to Google (GOOG-Q). They’ve had their eye on the ball, and are focused on the transformation to mobile, and are making money from it. Growth rate in earnings this year is going to slow, but the growth rate in revenues is not slowing. They are reinvesting significantly in mobile, which he feels is the right strategy.

It is day traded. There are huge volumes. He was in China last year and found out how pervasive the online shopping experience is. He is not sure it is a longer term hold, but it is a trading vehicle. Be prepared to trade it. It is not for him.

He is surprised how pervasive the online shopping experience is in China. The whole social media platform has enormous upside. Not sure if this is the one. A lot of people tend to trade this one like it was an option. He is a little leery of this one in particular. He has not filtered out which is the alternative.

Largest Internet player in China. Wonderful way to play growth of income and growth of Internet usage and will be a major long-term winner. A much more reflection on what is happening with the Chinese economy and outside investors’ views. A Chinese eBay (EBAY-Q) equivalent. Longer-term fundamentals of this stock look great.

Avoid this one. One of the things he thinks about when investing in emerging markets is the viability of the business and the viability of the profits. If you’re thinking of this kind of a stock, you are going out on a limb twofold in terms of 1) taking a stand on the secular permanence of the technological lead in Chinese search engine market and 2) the regulatory outlook.