Differentiated global TMT & Internet Research

New Street Research Insights

New Street Research

Research is provided by our team of experienced analysts. Our work is idea driven, based on independence of thought, sector expertise, and firmly focused on fundamentals and valuation of telecoms and internet names globally. New Street is headquartered in London with offices in New York, Singapore and Australia. 

New Street Research is an independent, partner-owned, research firm specialising in equity and debt research. Our equity research embraces the following sectors:

Pan European Telecom Services and Cable
US Telecoms, Cable, Satellite and Towers
Global Emerging Market Telecoms
Japan Telecoms
Asian Internet
Pan European Healthcare
US Healthcare
Japanese Healthcare

We also provide debt research on:
Pan European Telecom Services and Cable

Equity Bottom-Up

The cost of Telecoms has become an issue in Japan in recent weeks. We look at whether regulatory pressure will increase. The regulator has started a mid-cycle review but our view is that drastic measures are unnecessary and unlikely to occur. In comparison to other Developed Asian markets, pricing appears reasonable. It is higher than the US and Europe but not dramatically so. In particular we highlight KDDI as potentially attractive here.&nbsp;We expect the government to push for more lower priced handsets to be made available while extending existing handset plans. This could reduce subscriber acquisition/retention costs. Together with lower capex and flat service revenues we see Industry Ebitda expanding around 8% per year.

The cost of Telecoms has become an issue in Japan in recent weeks. We look at whether regulatory pressure will increase. The regulator has started a mid-cycle review but our view is that drastic measures are unnecessary and unlikely to occur. In comparison to other Developed Asian markets, pricing appears reasonable. It is higher than the US and Europe but not dramatically so. In particular we highlight KDDI as potentially attractive here.&nbsp;We expect the government to push for more lower priced handsets to be made available while extending existing handset plans. This could reduce subscriber acquisition/retention costs. Together with lower capex and flat service revenues we see Industry Ebitda expanding around 8% per year.

Concern over increased Japanese Telecom regulation is overdone. Industry can deliver Ebitda growth.

Leading Independent Investment Research, Morningstar, Inc.

Morningstar

Leading Independent Investment Research

Morningstar, Inc.

Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. We offer an extensive line of products and services for individual investors, financial advisors, asset managers, and retirement plan providers and sponsors. 

Morningstar provides data on more than 500,000 investment offerings, including stocks, mutual funds, and similar vehicles, along with real-time global market data on more than 16 million equities, indexes, futures, options, commodities, and precious metals, in addition to foreign exchange and Treasury markets. Morningstar also offers investment management services through its investment advisory subsidiaries, with more than $180 billion in assets under advisement or management as of June 30, 2015. We have operations in 27 countries.

Download the Morningstar Fact Sheet : http://corporate.morningstar.com/US/documents/MarketingFactSheets/AboutMorningstarFactsheet.pdf

Thematic (Sector/Industry)

Growth in the second quarter was revised up from 3.7% to 3.9%, beating the consensus estimate of 3.7% growth.It was what economists like to call a high-quality revision as the contribution from inventory expansion was now just 0.2% instead of 0.4%, meaning fewer goods were piling up on shelves.More than offsetting the downward inventory calculation was a large revision to consumer spending, primarily the services-related category.Consumer spending grew at a 3.6% rate in the second quarter, one of the best performances of this recovery and constituting almost two thirds of total GDP growth.Most of the construction-related categories were also revised higher.Analysts: Robert Johnson CFA &amp; Roland CzerniawskiFull report below the fold...&nbsp;

Growth in the second quarter was revised up from 3.7% to 3.9%, beating the consensus estimate of 3.7% growth.It was what economists like to call a high-quality revision as the contribution from inventory expansion was now just 0.2% instead of 0.4%, meaning fewer goods were piling up on shelves.More than offsetting the downward inventory calculation was a large revision to consumer spending, primarily the services-related category.Consumer spending grew at a 3.6% rate in the second quarter, one of the best performances of this recovery and constituting almost two thirds of total GDP growth.Most of the construction-related categories were also revised higher.Analysts: Robert Johnson CFA &amp; Roland CzerniawskiFull report below the fold...&nbsp;

U.S. Economy Picks up the Pace: We're bumping up our 2015 GDP forecast

Quality-first, Business-perspective Strategy, Urbem (HK) Limited

Steven Chen

Quality-first, Business-perspective Strategy

<ul>
<li>With less than 60 employees, Tobila Systems is the absolute dominator in the space that can make a significant impact on Japan's society;</li>
<li>The valuation starts to look attractive while the fundamentals remain sound;</li>
<li>Partly benefiting from being the first entrant to this niche with a robust flywheel business model, the company now “monopolizes” both the supply side and the distribution side.</li>
</ul>


With less than 60 employees, Tobila Systems is the absolute dominator in the space that can make a significant impact on Japan's society;
The valuation starts to look attractive while the fundamentals remain sound;
Partly benefiting from being the first entrant to this niche with a robust flywheel business model, the company now “monopolizes” both the supply side and the distribution side.


Tobila Systems: The Monopoly that You Probably Never Heard Of (Even as Its Customer)

Japan

NTT DOCOMO, INC. provides various types of telecommunication services including cellular phones, satellite mobile communication, and wireless LAN Network. The Company also sells cellular phones, and other equipment.

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NTT Docomo Inc (9437 JP)

Concern over increased Japanese Telecom regulation is overdone. Industry can deliver Ebitda growth.

The cost of Telecoms has become an issue in Japan in recent weeks. We look at whether regulatory pressure will increase. The regulator has started...

New Street Research

U.S. Economy Picks up the Pace: We're bumping up our 2015 GDP forecast

Growth in the second quarter was revised up from 3.7% to 3.9%, beating the consensus estimate of 3.7% growth.It was what economists like to call a...

Morningstar, Inc.

Tobila Systems: The Monopoly that You Probably Never Heard Of (Even as Its Customer)

Emotional Mr. Market seems to be offering investors a precious opportunity to accumulate “partial ownerships” in this high-quality business at...

Steven Chen

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