China Growth Partners Comments on Nutrastar International

TAMPA, Fla. China Growth Partners released a research report on Nutrastar International Inc. (OTC BB: NUIN), noting it considers the Harbin, China-based nutraceutical supplier an excellent investment opportunity. According to the report, Nutrastar has gross margins of more than 70 percent, 33 percent growth in income from operations in 2008 to 2009, a trailing PE ratio of 5, and a strong balance sheet with $23 million. Further, it is expecting a 20 percent capacity expansion to come online by the end of 2010, accompanied by new product launches and an expanded sales and distribution network.

Additional distinctions for Nutrastar, according to the report are the companys position as the largest source for Chinese Golden Grass (Cordyceps militaris) and an established leadership position in that market, with a patented cultivation process posing a barrier for entry to potential competitors.

While the current trading price of the NUIN stock is just over $3 per share, China Growth Partners expects the stock to trade at $6.30 or higher within 12 months. In fact, China Growth Partners plans to invest 50 percent of its fee for the report into NUIN shares in the open market for a minimum 12-month hold.