There are many stocks in this market that are worthy of consideration because their prices have retreated. There is one speculative small-cap company that stands out in this market as a really attractive opportunity. This stock is 10 points below its all- time trading high set in December of last year and it is extremely undervalued considering its growth prospects.

The company I'm referring to is Fushi International, Inc. (NASDAQ/FSIN) and I've been writing about it for quite some time in this column.

Fushi International recently changed its name to Fushi Copperweld, Inc. to better reflect its recent acquisition of Copperweld Bimetallics in Fayetteville, Tennessee.

Operating through its wholly owned subsidiary, Fushi International (Dalian), this company manufactures bimetallic composite wire products. The company's core product is copper-clad aluminum wires, which combine the conductivity and corrosion resistance of copper with the light weight of aluminum. According to the company, its copper clad aluminum wires are a cost-effective substitute for single copper wire. They can be used in a variety of applications, such as coaxial cable for cable television (CATV), signal transmission lines for telecommunication networks, distribution lines for electricity, electrical transformers, and wire components for electronic instruments and devices. The company is based in Dalian, Liaoning, China.

In its latest quarter, the third quarter of 2007, Fushi's revenues grew 147% to thirty-two million dollars, up from revenues of thirteen million dollars generated in the comparable quarter. Gross profit grew by 163% to ten-and-a-half million dollars. Gross margin was 32.8%, up from gross margin of 30.9% last year.

Net income in the third quarter of 2007 grew a whopping 474% to $8.2 million, up significantly from net income of $1.4 million in the third quarter of 2006.

I really like this company and I like the business it's in. I also like the fact that Fushi makes so much money in profit from its burgeoning sales.

When a growth company like Fushi is trading 10 points off its recent high, I think it's got to be a buy. All Chinese stocks are highly speculative, but I think this company has great potential over the next few years.