KongZhong Corporation (KONG) announced solid second-quarter results in early August, which kept its earnings estimates moving in an upward direction.

< ?DART(15);?> Today, shares of the Chinese mobile Internet company have gained approximately 8.4%, making it a Zacks #1 Rank Top Performer. Volume is at 646,000; well above the daily average of 231,000.

KONG is part of the Internet Content industry. The only other company from this space on today's 227-stock Zacks #1 Rank List is Perfect World Co., Ltd. (PWRD).

Earnings Estimates

The Zacks Consensus Estimate for this year is at 35 cents per share. Over the past month, that expectation has gained 25% from 28 cents, as 3 of 4 covering analysts revised higher.

Meanwhile, the Zacks Consensus Estimate for next year is at 45 cents, marking a nearly 29% gain from this year. That's also the exact same

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Kongzhong Corp (KONG), a leading provider of mobile Internet value-added services in China, has decided to acquire Simlife International Inc, a Chinese mobile game developer with a portfolio of more than 200 3D mobile games.

We consider this is a strategic move as Kongzhong has become the largest mobile game developer in China ahead of its competitors Hurray! Holdings (HRAY), Linktone (LTON) and Shanda Interactive Entertainment (SNDA). The company has taken a strategic decision to focus on two key areas. These are (1) Develop its mobile games business as the main growth driver and attain the largest share in this segment (2) Transform its Kong.net portal into a wireless based social gaming and community platform.

According to various industry estimates, the Chinese wireless value-added services market may generate up to $11.5 billion of revenue

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