China Shen Zhou Shares Popped: What You Need to Know

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: China Shen Zhou (AMEX: SHZ  ) shares jumped 25% today, after the company announced guidance for 2011.

So what: Shen Zhou expects revenue to rise 164% next year to $38 million, from an expected $14.5 million in 2010. Net income is expected to come in around $11 million.

Now what: The explosive growth Shen Zhou is experiencing will apparently continue into 2011, as demand for nonferrous metals and fluorite remain strong. Shares have been on a rampage since early October, and today's guidance shows the move should have some strong fundamental backing next year. I would like to see a pullback before jumping in, but I like the positive guidance, and I think shares have further to run.

Interested in more info on China Shen Zhou? Add it to your watchlist.

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.

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