China Tel Group Inc. (OTCBB: CHTL)

China Tel Group Inc. (CHTL), formerly Mortlock Ventures Inc., is a development stage company. The Company, through its wholly owned subsidiary Trussnet USA Inc., provides engineering and deployment services related to the build-out of a wireless broadband network in several cities in the Peoples Republic of China (PRC) for CECT-Chinacomm Communications Co. Ltd. Through Trussnet, the Company holds a 49% equity interest in ChinaComm Ltd. and the remaining 51% equity interest in ChinaComm Cayman is held by affiliates of Chinacomm. On May 21, 2008, the Company entered into a Reorganization and Merger Agreement (the Reorganization and Merger Agreement) pursuant, to which its wholly owned subsidiary Chinacomm Acquisition Inc. (the Acquisition Subsidiary) merged with and into Trussnet. On February 22, 2009, through a subsidiary of Trussnet, the Company acquired a 95% interest in Perusat S.A.

The Company was founded in 2008 and is based in Irvine, California.

Source: Reuters.com, SEC Filings.

Financial Summary

Source: Reuters.com, SEC Filings.

Analyst Consensus

Chart not available.

Source: www.ft.com

No consensus analysis data available.

Source: http://www.reuters.com/finance/stocks/financialHighlights?symbol=CHTL.OB

Investment Highlights

CHTL provides outsourced services to telecom carriers and equipment vendors for planning, design, deployment and optimization and management for telecommunication networks. The Company has access to more than 700 contractors around the world, including architects, engineers, planners, project managers and more.

The Company offers a range of services, including system planning, construction, network operations support, tower management and various others. CHTL is experienced in major wireless technologies and has provided architecture and engineering services for the wireless communications industry since 1987.

CHTL in mid-November announced that the Company’s planned infrastructure growth in the People’s Republic of China (PRC) has increased significantly. The PRC’s Public Security Ministry has chosen CECT – Chinacomm Communications Co. Ltd. (Chinacomm) to provide national security surveillance services using the state of the art wireless broadband network ChinaTel, currently deploying for Chinacomm. ChinaTel, indirectly through its contractual relationships with Chinacomm, has the right to deploy and operate a wireless broadband telecommunications network in 29 PRC cities (Chinacomm Network).

Source: http://www.chinatelgroup.com/

Technical Analysis

Source: http://stockcharts.com

CHTL is trading above its 50-day moving average. This is considered to be the sign of a bullish trend. There is added weight to this indication because the moving average is rising and suggests that there has been buying interest in this stock.

CHTL is trading within its Bollinger Bands. This is a normal condition and suggests that the stock is neither overbought nor oversold relative to the recent price action.

CHTL’s MACD is indicating a weak bearish signal. Although the indicator is above the critical level of 0, which implies that the underlying moving averages are bullish, the MACD has crossed below its 9-day moving average or signal line. This suggests that positive momentum has begun to slow.

Insider Trading Activity

Source: Yahoo Finance

Report Disclaimer

DO NOT BASE ANY INVESTMENT DECISION UPON ANY MATERIALS FOUND ON THIS REPORT. We are not registered as a securities broker-dealer or an investment adviser either with the U.S. Securities and Exchange Commission (the “SEC”) or with any state securities regulatory authority. We are neither licensed nor qualified to provide investment advice.

The information contained in our report should be viewed as commercial advertisement and is not intended to be investment advice. The report is not provided to any particular individual with a view toward their individual circumstances. The information contained in our report is not an offer to buy or sell securities. We distribute opinions, comments and information free of charge exclusively to individuals who wish to receive them.

Our newsletter and website have been prepared for informational purposes only and are not intended to be used as a complete source of information on any particular company. An individual should never invest in the securities of any of the companies profiled based solely on information contained in our report. Individuals should assume that all information contained in the report about profiled companies is not trustworthy unless verified by their own independent research.

Any individual who chooses to invest in any securities should do so with caution. Investing in securities is speculative and carries a high degree of risk; you may lose some or all of the money that is invested. Always research your own investments and consult with a registered investment advisor or licensed stock broker before investing.

Information contained in our report will contain “forward looking statements” as defined under Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Subscribers are cautioned not to place undue reliance upon these forward looking statements. These forward looking statements are subject to a number of known and unknown risks and uncertainties outside of our control that could cause actual operations or results to differ materially from those anticipated. Factors that could affect performance include, but are not limited to, those factors that are discussed in each profiled company’s most recent reports or registration statements filed with the SEC. You should consider these factors in evaluating the forward looking statements included in the report and not place undue reliance upon such statements.

We are committed to providing factual information on the companies that are profiled. However, we do not provide any assurance as to the accuracy or completeness of the information provided, including information regarding a profiled company’s plans or ability to effect any planned or proposed actions. We have no first-hand knowledge of any profiled company’s operations and therefore cannot comment on their capabilities, intent, resources, nor experience and we make no attempt to do so. Statistical information, dollar amounts, and market size data was provided by the subject company and related sources which we believe to be reliable.

To the fullest extent of the law, we will not be liable to any person or entity for the quality, accuracy, completeness, reliability, or timeliness of the information provided in the report, or for any direct, indirect, consequential, incidental, special or punitive damages that may arise out of the use of information we provide to any person or entity (including, but not limited to, lost profits, loss of opportunities, trading losses, and damages that may result from any inaccuracy or incompleteness of this information).

We encourage you to invest carefully and read investment information available at the websites of the SEC at http://www.sec.gov and FINRA at http://www.finra.org.