Chairman, sgtradex

Tan Chin-Hwee

Chairman

Thematic (Sector/Industry)

Two years ago I recalled during May/June period, put premiums were at double digits for the biggest china financial stocks. It was dirt cheap at low valuation pricing (3x p/e; 0.8x p/b) pricing in worse cases scenario. Clear Buy. In the last two months, US$1.7 trillion having been added to China&rsquo;s stock market capitalization with some Chinese valuations now look excessive (according to CLSA, China&rsquo;s nine largest listed stock brokers have a combined market cap US$319bn). Market is indeed hot, as an investor in a start-up P2P china financial portal-an additional 1 million new subscribers signed up in last 3 months! &nbsp;Overall, the influx of foreign money will be a great time for the SOE sector to deleverage and the banks to recapitalize and write down their debt.

Two years ago I recalled during May/June period, put premiums were at double digits for the biggest china financial stocks. It was dirt cheap at low valuation pricing (3x p/e; 0.8x p/b) pricing in worse cases scenario. Clear Buy.  In the last two months, US$1.7 trillion having been added to China&rsquo;s stock market capitalization with some Chinese valuations now look excessive (according to CLSA, China&rsquo;s nine largest listed stock brokers have a combined market cap US$319bn). Market is indeed hot, as an investor in a start-up P2P china financial portal-an additional 1 million new subscribers signed up in last 3 months! &nbsp;Overall, the influx of foreign money will be a great time for the SOE sector to deleverage and the banks to recapitalize and write down their debt.

A herd of fine horses are starting to head back to their home market

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

Smartkarma

Smartkarma unites the fragmented investment industry, connecting institutional investors, independent research providers, and corporates within a single network.

Research Reinvented

Equity Capital Markets

Baic Motor Corp Ltd H / Equity Capital Markets

We would avoid the deal.We think that the IPO valuation doesn’t leave enough upside for investors as compared to peer’s valuation. In addition we are concerned that analyst’s growth expectations might be too aggressive given the slowdown of the Passenger Vehicle market in China.

We would avoid the deal.We think that the IPO valuation doesn’t leave enough upside for investors as compared to peer’s valuation. In addition we are concerned that analyst’s growth expectations might be too aggressive given the slowdown of the Passenger Vehicle market in China.

BAIC IPO - Expensive valuation underpinned by aggressive growth assumption amid China Auto market slow down

China

BAIC Motor Corporation Limited designs, researches, develops, manufactures and sells a variety of passenger vehicles in China.

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Baic Motor Corp Ltd H (1958 HK)

A herd of fine horses are starting to head back to their home market

Two years ago I recalled during May/June period, put premiums were at double digits for the biggest china financial stocks. It was dirt cheap at...

Tan Chin-Hwee

BAIC IPO - Expensive valuation underpinned by aggressive growth assumption amid China Auto market slow down

We would avoid the deal.We think that the IPO valuation doesn’t leave enough upside for investors as compared to peer’s valuation. In addition we...

Ke Yan, CFA, FRM

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)