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Sell Alerts: Acquity Group Ltd. (AQ) and Mindray Medical International Ltd. (MR)

AQ was recommended by Cabot China & Emerging Markets Report at $9.20 in Investment Digest issue 723, dated July 25, 2012.

Acquity Group Ltd. (AQ, $8) slipped today following a so-so quarterly report. Revenues advanced 26%, but that’s a big deceleration from earlier quarters. Moreover, management’s fourth-quarter outlook was shy of...

AQ was recommended by Cabot China & Emerging Markets Report at $9.20 in Investment Digest issue 723, dated July 25, 2012.

Acquity Group Ltd. (AQ, $8) slipped today following a so-so quarterly report. Revenues advanced 26%, but that’s a big deceleration from earlier quarters. Moreover, management’s fourth-quarter outlook was shy of estimates. Predictably, AQ sold off on the news, falling down out of its multi-month trading range. The set-up looked good, but earnings season can change a stock’s landscape, and it’s done that here. SELL.”

MR was recommended by Cabot China & Emerging Markets Report at $35.00 in Investment Digest issue 725, dated August 22, 2012.

Mindray Medical International Ltd. (MR, $33) was also an earnings loser, falling out of its tight trading area during the past few days. It has found some support in the 31-32 area, but the big down volume tells us upside will be limited. We think it’s best to sell and hold the cash. SELL.

- Paul Goodwin, Cabot China & Emerging Markets Report, November 8, 2012