Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Douglas Research Advisory

Equity Bottom-Up

<ul>
<li>Coway announced a significantly higher total shareholder return plan, nearly doubling total shareholder returns of consolidated net income from current 20% to about 40% in the next three years.</li>
<li>Coway has low valuation multiples. It is currently trading at EV/EBITDA of 4.1x, P/E of 8.1x, and P/B of 1.4x based on 2025 consensus earnings estimates.</li>
<li>We believe that the combination of improved shareholder returns and low valuation multiples are likely to lead to outperformance of Coway versus the market in the next 6-12 months. </li>
</ul>


Coway announced a significantly higher total shareholder return plan, nearly doubling total shareholder returns of consolidated net income from current 20% to about 40% in the next three years.
Coway has low valuation multiples. It is currently trading at EV/EBITDA of 4.1x, P/E of 8.1x, and P/B of 1.4x based on 2025 consensus earnings estimates.
We believe that the combination of improved shareholder returns and low valuation multiples are likely to lead to outperformance of Coway versus the market in the next 6-12 months. 


Coway: Doubling Total Shareholder Returns to 40% of Consolidated Net Income

Cross Asset Strategy

<ul>
<li>In this insight, we discuss the details of the share price performances of the Korea Value Up Index (especially among the index constituents) this year.</li>
<li>It appears that many traders are buying beaten up, higher beta stocks in Korea that were excessively pushed to much lower levels last year. </li>
<li>Among the top 20 best performing stocks in the Korea Value Up Index this year, 15 of them (75% of the top 20 stocks) are listed on KOSDAQ. </li>
</ul>


In this insight, we discuss the details of the share price performances of the Korea Value Up Index (especially among the index constituents) this year.
It appears that many traders are buying beaten up, higher beta stocks in Korea that were excessively pushed to much lower levels last year. 
Among the top 20 best performing stocks in the Korea Value Up Index this year, 15 of them (75% of the top 20 stocks) are listed on KOSDAQ. 


Korea Value Up Index: Winners and Losers in 2025 YTD

Quantitative Researcher, MRM Research

Nico Rosti

Quantitative Researcher

MRM Research

Quantitative Research

Event-Driven

Korea Stock Exchange KOSPI 200 / Event-Driven

<ul>
<li>The <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">KOSPI 200</a> Index is currently rising for the 3rd week in a row and approaching the Q2 WEEKLY resistance level, but it's a very weak rally.</li>
<li>Between 329 and 331 there id a good area to go SHORT, the index could fall for 2-3 weeks from here, into early November.</li>
<li>A negative close in October would be =3 months down in a row (CC=-3), November in that case would have good odds for a rebound and close up.</li>
</ul>


The KOSPI 200 Index is currently rising for the 3rd week in a row and approaching the Q2 WEEKLY resistance level, but it's a very weak rally.
Between 329 and 331 there id a good area to go SHORT, the index could fall for 2-3 weeks from here, into early November.
A negative close in October would be =3 months down in a row (CC=-3), November in that case would have good odds for a rebound and close up.


EQD | KOSPI 200 Frail WEEKLY Rally Is Ending

Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Periscope Analytics

Periscope Analytics focuses on event-driven trades across Asia Pacific and provides comprehensive, timely and systematic coverage of index changes to major Asia Pacific indices in a structured manner.

The analysis includes forecasted inclusions and exclusions to all major Asian indices that have significant amount of tracking assets, including estimates of passive buy/sell flow on the stocks. The service also provides commentary and impact of market consultations, ground rule changes, and other events (IPOs, spin-offs, M&A) that could lead to index changes and passive flow.

Periscope Analytics works with multi-strategy hedge funds, proprietary trading firms, stat arb trading groups and long-only investors that invest and trade in the Asia Pacific region with the data being used to trade index rebalances, avoid pre-positioning and passive flow, and to time entry into and exit from stocks.

Event-Driven Trades Across Asia Pacific

China Galaxy Securities (H) / Event-Driven

<ul>
<li>The WisdomTree Emerging Markets SmallCap Dividend Index is a fundamentally weighted index that measures the performance of small cap stocks within Emerging Markets.</li>
<li>The October rebalance will result in a one-way turnover of ~45% and in a one-way trade of US$1.24bn. There are ~300 stocks with over 1 day of ADV to trade.</li>
<li>With only 4 trading days to implementation, there could be large moves on stocks with large flows and impact over the next few days.</li>
</ul>


The WisdomTree Emerging Markets SmallCap Dividend Index is a fundamentally weighted index that measures the performance of small cap stocks within Emerging Markets.
The October rebalance will result in a one-way turnover of ~45% and in a one-way trade of US$1.24bn. There are ~300 stocks with over 1 day of ADV to trade.
With only 4 trading days to implementation, there could be large moves on stocks with large flows and impact over the next few days.


WisdomTree Emerging Markets SmallCap Dividend Index Rebalance: 45% Turnover & US$2.5bn to Trade

<ul>
<li>We discuss how to use the OWL ESG Analytics (available on Smartkarma) to narrow down the list of companies that could be the next targets of corporate activism in Korea. </li>
<li>We go through in detail, step-by-step process of how to narrow down the list of companies, using the OWL ESG Analytics. </li>
<li>Corporate activism has been one of the most important, market moving factors moving the Korean stock market this year.</li>
</ul>


We discuss how to use the OWL ESG Analytics (available on Smartkarma) to narrow down the list of companies that could be the next targets of corporate activism in Korea. 
We go through in detail, step-by-step process of how to narrow down the list of companies, using the OWL ESG Analytics. 
Corporate activism has been one of the most important, market moving factors moving the Korean stock market this year.


Using Smartkarma/OWL ESG Analytics to Narrow Down List of Corporate Activism Targets in Korea

South Korea

Coway Co Ltd develops, manufactures, maintains, and markets environment-related products, such as water purifiers, air cleaners, and water softeners.The Company also provides water testing service.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Coway Co Ltd (021240 KS)

Coway: Doubling Total Shareholder Returns to 40% of Consolidated Net Income

Coway announced a significantly higher total shareholder return plan, nearly doubling total shareholder returns of consolidated net income from...

Douglas Kim

Korea Value Up Index: Winners and Losers in 2025 YTD

In this insight, we discuss the details of the share price performances of the Korea Value Up Index (especially among the index constituents) this...

Douglas Kim

EQD | KOSPI 200 Frail WEEKLY Rally Is Ending

The KOSPI 200 Index is rising for the 3rd week but it's a weak rally. Go SHORT between 329 and 331, hold 2-3 weeks. A negative close in October...

Nico Rosti

WisdomTree Emerging Markets SmallCap Dividend Index Rebalance: 45% Turnover & US$2.5bn to Trade

There are 364 adds/325 deletes for the WisdomTree Emerging Markets SmallCap Dividend Index. One-way turnover is 45% resulting in a one-way trade of...

Brian Freitas

Using Smartkarma/OWL ESG Analytics to Narrow Down List of Corporate Activism Targets in Korea

We discuss how to use the OWL ESG Analytics (available on Smartkarma) to narrow down the list of companies that could be the next targets of...

Douglas Kim

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

Coway: Doubling Total Shareholder Returns to 40% of Consolidated Net Income

Coway announced a significantly higher total shareholder return plan, nearly doubling total shareholder returns of consolidated net income from...

Douglas Kim

Korea Value Up Index: Winners and Losers in 2025 YTD

In this insight, we discuss the details of the share price performances of the Korea Value Up Index (especially among the index constituents) this...

Douglas Kim

EQD | KOSPI 200 Frail WEEKLY Rally Is Ending

​The KOSPI 200 Index is rising for the 3rd week but it's a weak rally. Go SHORT between 329 and 331, hold 2-3 weeks. A negative close in October...

Nico Rosti

WisdomTree Emerging Markets SmallCap Dividend Index Rebalance: 45% Turnover & US$2.5bn to Trade

There are 364 adds/325 deletes for the WisdomTree Emerging Markets SmallCap Dividend Index. One-way turnover is 45% resulting in a one-way trade of...

Brian Freitas

Using Smartkarma/OWL ESG Analytics to Narrow Down List of Corporate Activism Targets in Korea

We discuss how to use the OWL ESG Analytics (available on Smartkarma) to narrow down the list of companies that could be the next targets of...

Douglas Kim

The KOSPI 200 Index is rising for the 3rd week but it's a weak rally. Go SHORT between 329 and 331, hold 2-3 weeks. A negative close in October...