China Ritar Power Corp ( ) is set to report earnings before the market opens on Monday, August 17th (USPH Webcast). China Ritar designs, develops, manufactures and markets environmentally friendly, lead acid batteries with a wide range of capacities and applications, including telecommunications, Uninterruptible Power Supply (UPS) devices, Light Electrical Vehicles (LEV), and alternative energy systems (solar and wind power). China Ritar sells, markets and services six series and 197 models of Ritar-branded, cadmium-free valve-regulated lead-acid (VRLA) batteries. Products are sold worldwide with sales in 81 countries including China, India, and numerous markets in Europe and the Americas.

CRTP is expected to earn 8 cents for its 2nd quarter. We expect the Alternative Energy Company company to announce earnings that will meet or beat investors’ and analysts’ expectations. Recently the company announced an increase in demand for its batteries and said the Chinese government increased its 2020 renewable energy target from 15% to 20%. That’s a lot of future demand for a country of China’s size and economic growth.

Typically, China Ritar rocks in the days around its earnings reports. Four of the last 5 earnings releases have seen CRTP’s stock rise an average of 19.45%. The one drop was painful as the stock nearly lost a third of its value.

From a valuation standpoint, we believe CRTP looks like an undervalued stock. It currently trades with a of 8.4. That’s considerable less than the 50% earnings growth analysts are projecting. The growth verses discount is illustrated nicely by its PEG Ratio of just .42. The stock also trades for only 89 cents on the dollar for every dollar they do in sales. Again a nice discount for a company with big growth expectations.

According to Point & Figure technical analysis of China Ritar’s stock chart, it broke through a triple top on July 21st and now has a bullish price objective of $13and change. A solid earnings announcement and there is no telling where this stock could go.