Equity Analyst, LightStream Research

Shifara Samsudeen, ACMA, CGMA

Equity Analyst

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/tencent-holdings-ltd" target="_blank" data-smartkarma-citation="entities:26:1" rel="noopener">Tencent (700 HK)</a> reported 1Q2023 results. Revenue grew 10.7% YoY and beat consensus estimate by 2.3% while reported operating profit was 2.25 below consensus estimates.</li>
<li>Key highlight was the YoY growth in domestic game revenue (+6%) which was mainly driven by strong performance of newly launched titles.</li>
<li>There has been strong recovery across all business segments during the quarter and current valuations are still at a discount to historical trading multiples and offer a good entry point.</li>
</ul>



Tencent (700 HK) reported 1Q2023 results. Revenue grew 10.7% YoY and beat consensus estimate by 2.3% while reported operating profit was 2.25 below consensus estimates.
Key highlight was the YoY growth in domestic game revenue (+6%) which was mainly driven by strong performance of newly launched titles.
There has been strong recovery across all business segments during the quarter and current valuations are still at a discount to historical trading multiples and offer a good entry point.


Tencent: Domestic Gaming Returns to Growth

Articles from Caixin Global, Caixin Global

Caixin Global

Articles from Caixin Global

Caixin is a media group dedicated to providing financial and business news through periodicals, online content, mobile apps, conferences, books and TV/video programs. Caixin aims to blaze a trail that helps traditional media prosper in the new media age through integrated multimedia platforms.

News from Caixin

Cross Asset Strategy

<ul><li>Autos /In Depth: How smart cars are upending the auto supply chain</li><li>Capsized /: 39 missing after Chinese fishing vessel capsizes in Indian Ocean</li><li>Talk show /: Chinese comedy producer takes $2.1 million hit for military pun</li></ul>

Autos /In Depth: How smart cars are upending the auto supply chainCapsized /: 39 missing after Chinese fishing vessel capsizes in Indian OceanTalk show /: Chinese comedy producer takes $2.1 million hit for military pun

CX Daily: How Smart Cars Are Upending the Auto Supply Chain

Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<ul>
<li>In 1Q23, the revenue growth rose significantly to 11% YoY.</li>
<li>The operating margin also improved significantly to 24% in 1Q23 versus 17% in 1Q22.</li>
<li>We set an upside of 28% and a price target of HK$440 for yearend 2023.</li>
</ul>


In 1Q23, the revenue growth rose significantly to 11% YoY.
The operating margin also improved significantly to 24% in 1Q23 versus 17% in 1Q22.
We set an upside of 28% and a price target of HK$440 for yearend 2023.


Tencent (700 HK): 1Q23, Significant Improvements in Growth and Margin

APAC IPOs & Placements, Aequitas Research

Clarence Chu

APAC IPOs & Placements

Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/beijing-dmall-e-commerce-co-ltd" target="_blank" data-smartkarma-citation="entities:36623:1" rel="noopener">Dmall Inc (1751691D CH)</a> is looking to raise around US$200m in its upcoming Hong Kong IPO.</li>
<li>Dmall provides cloud-based, end-to-end SaaS platform purpose-built for the Chinese retail industry.</li>
<li>In this note, we will talk about the positive aspects of the deal.</li>
</ul>



Dmall Inc (1751691D CH) is looking to raise around US$200m in its upcoming Hong Kong IPO.
Dmall provides cloud-based, end-to-end SaaS platform purpose-built for the Chinese retail industry.
In this note, we will talk about the positive aspects of the deal.


Dmall Pre-IPO - The Positives - Ambitions of Aiding the Retail Digitization Journey for Retailers

China/Asia TMT

Shawn Yang

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

<ul>
<li>On May 15th, Tencent holds its annual game conference "Spark 2023" and releases its latest game pipeline, including updates of 15 launched games and 20 new games.</li>
<li>Considering Tencent's large size, only a game that has the potential to exceed RMB 10 bn in annual gross billing could be considered as a positive sign.</li>
<li>Yet, we don't find any game title that could reach over RMB 10bn annualized gross billing in the game pipeline.</li>
</ul>


On May 15th, Tencent holds its annual game conference "Spark 2023" and releases its latest game pipeline, including updates of 15 launched games and 20 new games.
Considering Tencent's large size, only a game that has the potential to exceed RMB 10 bn in annual gross billing could be considered as a positive sign.
Yet, we don't find any game title that could reach over RMB 10bn annualized gross billing in the game pipeline.


Tencent Announced Game Pipeline in Annual Conference "Spark 2023", and Our Estimations

China

Tencent Holdings Limited operates as an investment holding company. The Company, through its subsidiaries, provides Internet and mobile value-added services (VAS), online advertising, and e-commerce transactions. Tencent Holdings offers services to users worldwide.

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Tencent (700 HK)

Tencent: Domestic Gaming Returns to Growth

Tencent's domestic game revenue grew for the first time driven by newly released titles. Newly unveiled gaming pipeline should drive growth in...

Shifara Samsudeen, ACMA, CGMA

CX Daily: How Smart Cars Are Upending the Auto Supply Chain

Autos /In Depth: How smart cars are upending the auto supply chain Capsized /: 39 missing after Chinese fishing vessel capsizes in Indian...

Caixin Global

Tencent (700 HK): 1Q23, Significant Improvements in Growth and Margin

In 1Q23, the revenue growth rose significantly to 11% YoY. The operating margin also improved significantly to 24% in 1Q23 versus 17% in 1Q22. We...

Ming Lu

Dmall Pre-IPO - The Positives - Ambitions of Aiding the Retail Digitization Journey for Retailers

Dmall Inc (1751691D CH) is looking to raise around US$200m in its upcoming Hong Kong IPO. In this note, we will talk about the positive aspects of...

Clarence Chu

Tencent Announced Game Pipeline in Annual Conference "Spark 2023", and Our Estimations

On May 15th, Tencent holds its annual game conference "Spark 2023" and releases its latest game pipeline, including updates of 15 launched games...

Blue Lotus Research Institute

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