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The New Year might sap strength from the already limping China bull market. Corporate profit growth, a key stimulus for the country's soaring stock prices last year, is likely to noticeably lose momentum in 2008, especially for the bellwether financial and energy sectors, analysts say.

Analysts estimate that earnings per share jumped 29% to 31% in 2007 for companies measured by the closely watched MSCI China Index. In many cases, per-share earnings rose more than twice that rate at financial heavyweights like banks, insurers and brokerage firms that dominate market capitalization on China's exchanges. The country's benchmark Shanghai Composite Index nearly doubled last year.

Profits will almost surely remain relatively robust this year, as economic growth continues to power ahead at about a 10% rate. However, average growth in net income per share could slow toward 25%, according to a recent report by Morgan Stanley analysts.