Korea / Special Sits, Pairs, Index Rebalancing, Clepsydra Capital

Sanghyun Park

Korea / Special Sits, Pairs, Index Rebalancing

Clepsydra Capital

Investigate special situations, pairs, and index rebalancing trades in Korea.

Event-Driven

KMW and HLB are at the top in both short and loan interests among the KOSDAQ stocks (excluding SillaJen).KMW has a 4.83% short interest (as a % of SO), closely followed by HLB at 4.57%.Not much change in their short interest, but KMW had a substantial weekly increase in its loan interest, +18.42% and +2.18%p. Its loan interest now sits at a whopping 18.42% of the SO.













Top 20 short interest
Ticker
K150
Short
1W Δ
1W Δ %p
Loan
1W Δ
1W Δ %p


KMW Co Ltd
032500
126
4.83%
-0.10%
0.00%p
14.02%
18.42%
2.18%p


HLB Inc
028300
82
4.57%
1.26%
0.06%p
10.92%
4.51%
0.47%p


Apam Corp
073070
#N/A
2.41%
0.00%
0.00%p
4.09%
0.00%
0.00%p


Sangsangin Co Ltd
038540
50
2.08%
-4.34%
-0.09%p
4.11%
-0.76%
-0.03%p


Toptec Co Ltd
108230
137
2.07%
-1.95%
-0.04%p
4.05%
0.60%
0.02%p


NatureCell Co Ltd
007390
19
1.96%
4.13%
0.08%p
5.31%
-0.76%
-0.04%p


Kuk Il Paper MFG Co Ltd
078130
17
1.92%
3.92%
0.07%p
6.75%
1.77%
0.12%p


Komipharm International Co., Ltd.
041960
128
1.84%
-1.23%
-0.02%p
4.51%
1.30%
0.06%p


BH Co Ltd
090460
45
1.79%
0.30%
0.01%p
4.90%
0.96%
0.05%p


Power Logics
047310
#N/A
1.75%
-0.12%
0.00%p
2.85%
-7.12%
-0.22%p


Innovation For Creative Devices Co Ltd
040910
#N/A
1.73%
-0.92%
-0.02%p
2.83%
0.57%
0.02%p


Korea Alcohol Industrial
017890
#N/A
1.72%
3.37%
0.06%p
2.99%
0.00%
0.00%p


Cancer Rop Co Ltd
180400
#N/A
1.67%
0.00%
0.00%p
1.98%
-0.12%
0.00%p


Curocom Co., Ltd.
040350
#N/A
1.62%
3.46%
0.05%p
2.84%
0.00%
0.00%p


MS Autotech Co Ltd
123040
#N/A
1.50%
0.12%
0.00%p
2.73%
0.00%
0.00%p


Hyundai Bioscience Co Ltd
048410
148
1.49%
-0.67%
-0.01%p
4.50%
1.37%
0.06%p


ACT Co Ltd (Chungcheongbuk-do)
138360
#N/A
1.48%
0.00%
0.00%p
1.98%
0.00%
0.00%p


Orbitech Co Ltd
046120
#N/A
1.46%
-1.78%
-0.03%p
2.04%
0.39%
0.01%p


STCube Inc
052020
78
1.45%
0.82%
0.01%p
3.62%
1.94%
0.07%p


Chemtronics Co Ltd
089010
#N/A
1.45%
-1.14%
-0.02%p
3.23%
-0.21%
-0.01%p

Source: KRX &amp; KOFIA















Top 20 loan balance
Ticker
K150
Short
1W Δ
1W Δ %p
Loan
1W Δ
1W Δ %p


KMW Co Ltd
032500
126
4.83%
-0.10%
0.00%p
14.02%
18.42%
2.18%p


HLB Inc
028300
82
4.57%
1.26%
0.06%p
10.92%
4.51%
0.47%p


Easy Holdings Co Ltd
035810
113
0.46%
0.58%
0.00%p
8.08%
3.57%
0.28%p


Anterogen Co Ltd
065660
72
0.59%
1.17%
0.01%p
7.44%
-3.19%
-0.25%p


Medipost Co Ltd
078160
42
0.84%
-0.17%
0.00%p
7.36%
1.90%
0.14%p


Intops Co Ltd
049070
#N/A
0.07%
0.00%
0.00%p
7.33%
-28.64%
-2.94%p


Ecopro Co., Ltd.
086520
86
0.74%
-5.99%
-0.05%p
7.04%
1.68%
0.12%p


Kuk Il Paper MFG Co Ltd
078130
17
1.92%
3.92%
0.07%p
6.75%
1.77%
0.12%p


NHN KCP Corp
060250
9
0.09%
23.86%
0.02%p
6.72%
2.53%
0.17%p


Jusung Engineering Co., Ltd.
036930
118
0.42%
-9.99%
-0.05%p
6.52%
2.24%
0.14%p


PearlAbyss Corp
263750
142
0.43%
284.98%
0.32%p
6.52%
394.02%
5.20%p


Seegene Inc
096530
66
0.67%
-2.59%
-0.02%p
6.16%
23.97%
1.19%p


PARTRON Co Ltd
091700
141
1.41%
-26.86%
-0.52%p
6.11%
12.15%
0.66%p


Genic Co Ltd
123330
#N/A
0.33%
0.00%
0.00%p
6.07%
-0.13%
-0.01%p


TSE Co Ltd
131290
#N/A
0.07%
0.00%
0.00%p
5.88%
-11.63%
-0.77%p


MedyTox Inc
086900
41
0.60%
2.17%
0.01%p
5.86%
-0.01%
0.00%p


DAWONSYS CO., LTD
068240
26
0.76%
1.00%
0.01%p
5.86%
-6.62%
-0.41%p


JYP Entertainment Corp
035900
6
0.57%
96.86%
0.28%p
5.84%
-1.89%
-0.11%p


Cafe24 Corp
042000
123
1.21%
10.81%
0.12%p
5.59%
1.83%
0.10%p


L&amp;K Biomed Co Ltd
156100
#N/A
0.05%
53.16%
0.02%p
5.35%
-0.79%
-0.04%p

Source: KRX &amp; KOFIA

In the run-up to the May 3 short-selling resumption, we should probably focus on gainers in loan interest, which often serves as a leading indicator of short-selling.Last week, the biggest gainer was Pearl Abyss, with a 5.2%p increase to 6.52% of the SO. Kyhyoung and KMW follow distantly, with 3.24%p and 2.18%p, respectively.The market seems to be interested in shorting Pearl Abyss on the recent bounce, largely resulting from the stock split event.













Top 20 loan balance gainers
Ticker
K150
Short
1W Δ
1W Δ %p
Loan
1W Δ
1W Δ %p


PearlAbyss Corp
263750
142
0.43%
284.98%
0.32%p
6.52%
394.02%
5.20%p


Kohyoung Technology Inc
098460
15
1.10%
387.22%
0.87%p
4.04%
405.32%
3.24%p


KMW Co Ltd
032500
126
4.83%
-0.10%
0.00%p
14.02%
18.42%
2.18%p


Victek Co., Ltd.
065450
#N/A
0.19%
-73.11%
-0.53%p
2.64%
132.44%
1.51%p


Seegene Inc
096530
66
0.67%
-2.59%
-0.02%p
6.16%
23.97%
1.19%p


Ace Technologies Corp.
088800
81
0.82%
-0.75%
-0.01%p
3.67%
40.14%
1.05%p


HLB Life Science Co Ltd
067630
83
1.32%
-1.60%
-0.02%p
4.62%
23.87%
0.89%p


Bosung Power Technology Co., Ltd.
006910
#N/A
1.05%
-0.11%
0.00%p
2.43%
51.56%
0.83%p


Alteogen Inc
196170
74
0.26%
39.89%
0.07%p
3.20%
34.31%
0.82%p


Helixmith Co Ltd
084990
147
0.78%
-0.71%
-0.01%p
4.89%
15.94%
0.67%p


PARTRON Co Ltd
091700
141
1.41%
-26.86%
-0.52%p
6.11%
12.15%
0.66%p


Deutsch Motors Inc
067990
#N/A
0.89%
2.00%
0.02%p
2.81%
29.96%
0.65%p


Kakao Games Corp
293490
122
0.00%
-100.00%
-0.01%p
4.08%
18.68%
0.64%p


Youngsin Metal Industrial
007530
#N/A
0.00%
#DIV/0!
0.00%p
0.98%
171.75%
0.62%p


Eone Diagnomics Genome Center Co Ltd
245620
#N/A
0.32%
127.91%
0.18%p
1.46%
69.18%
0.60%p


Huons Global Co Ltd
084110
#N/A
0.08%
-10.97%
-0.01%p
1.23%
85.37%
0.57%p


FORMETAL CO., LTD.
119500
#N/A
0.00%
#DIV/0!
0.00%p
2.11%
36.06%
0.56%p


LET Co Ltd
297890
#N/A
0.00%
#DIV/0!
0.00%p
0.52%
#DIV/0!
0.52%p


HLB Inc
028300
82
4.57%
1.26%
0.06%p
10.92%
4.51%
0.47%p


Fantagio Corp
032800
#N/A
0.31%
400.00%
0.25%p
0.58%
307.70%
0.44%p

Source: KRX &amp; KOFIA



KOSDAQ Short/Loan Int: Pearl Abyss on Radar for Recent Bounce & Big Names KOSPI Moving

Quantitative Analysis

<p>Multiple news outlets in Korea have reported late last night that the Korea FSC would announce the first-phase measures of new restrictions for short selling as early as today. We are still in a sort of the first phase. So, the FSC wouldn't go as far as an across-the-board ban at this time. Then, what would it be? Reportedly, the FSC will tighten the one-day ban of overheated short-selling stocks. Currently, the KRX classifies and designates so-called overheated stocks with a sudden and abnormal increase of short-sale transactions and bans them from further short-selling on the following day. The FSC will likely extend the banning period. Moreover, it will probably tighten the designation criteria.</p><figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/122/132/original/1.png?1583784320" class="editor-image img-responsive" data-smartkarma-image-id="122132"></figure><p>Then, let's examine what names would emerge as a potential short-term short squeezing target from a quant angle.</p>

Multiple news outlets in Korea have reported late last night that the Korea FSC would announce the first-phase measures of new restrictions for short selling as early as today. We are still in a sort of the first phase. So, the FSC wouldn't go as far as an across-the-board ban at this time. Then, what would it be? Reportedly, the FSC will tighten the one-day ban of overheated short-selling stocks. Currently, the KRX classifies and designates so-called overheated stocks with a sudden and abnormal increase of short-sale transactions and bans them from further short-selling on the following day. The FSC will likely extend the banning period. Moreover, it will probably tighten the designation criteria.Then, let's examine what names would emerge as a potential short-term short squeezing target from a quant angle.

Short-Selling Rule Change in Korea: Potential Names for Short Squeezing

Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Korea/Asia, Events, IPOs

Thematic (Sector/Industry)

<div class="content-highlight">
<p><strong>In this insight, I analyze the top 200 Youtube channels in Korea and provide the top 7 investment ideas from this data. For the top 200 most popular Youtube channels, I used the ranking from <a href="https://socialblade.com/youtube/top/country/kr" target="_blank" rel="noopener">Socialblade website</a>. </strong></p>
<p>Youtube has become one of the most watched contents in Korea, taking away significant market share from other contents including terrestrial TV, cable TV, cinema movies, and other Internet contents. By better understanding what Koreans are watching on Youtube, investors are likely to better understand the fast changing dynamics of the Korean media and OTT industries. </p>
<p><em>To prepare for this insight, I have taken look at all 200 of these Youtube channels and their videos. It took many hours to go through them all (even glancing at some of these videos quickly) but I hope you enjoy the insight!</em></p>
</div>


In this insight, I analyze the top 200 Youtube channels in Korea and provide the top 7 investment ideas from this data. For the top 200 most popular Youtube channels, I used the ranking from Socialblade website. 
Youtube has become one of the most watched contents in Korea, taking away significant market share from other contents including terrestrial TV, cable TV, cinema movies, and other Internet contents. By better understanding what Koreans are watching on Youtube, investors are likely to better understand the fast changing dynamics of the Korean media and OTT industries. 
To prepare for this insight, I have taken look at all 200 of these Youtube channels and their videos. It took many hours to go through them all (even glancing at some of these videos quickly) but I hope you enjoy the insight!


Top 7 Investment Ideas from Top 200 Youtube Channels in Korea (Mukbang Included)

Equity Bottom-Up

<div class="content-highlight">
<p><strong><a href="https://www.smartkarma.com/entities/mcnex-co-ltd" target="_blank" data-smartkarma-citation="entities:18108:1" rel="noopener">Mcnex Co Ltd (097520 KS)</a> is a leading Korean manufacturer of camera modules for smartphones and autos. Our base case valuation for the company is 49,171 won, which would represent a 34% upside (one year) from current levels. Our base case valuation assumes a P/E multiple of 9.2x (10% premium to P/E multiple in 2019) and net profit of 95.6 billion won (current consensus estimates).</strong></p>
<h2>Catalysts</h2>
<ul>
<li>
<strong>Excellent demand for Samsung's mid-to-high end smartphones</strong> - The company is a key beneficiary of the continued excellent demand for Samsung's mid-to-high end smartphones including Galaxy S, Fold, and A Series as millions of consumers seek <span tabindex="0">high-pixel and ultra-wide-angle cameras included smartphones.</span>
</li>
<li>
<strong>Adoption of Level 3 autonomous vehicles in Korea</strong> - For full details, see our report, <strong><a href="https://www.smartkarma.com/insights/a-comprehensive-list-of-korean-companies-benefiting-from-sale-of-level-3-autonomous-vehicles-in-july" target="_blank" data-smartkarma-citation="insights:35606" rel="noopener">A Comprehensive List of Korean Companies Benefiting from Sale of Level 3 Autonomous Vehicles in July</a>. </strong>
</li>
<li><strong>Improving capacity utilization rates of its manufacturing operations</strong></li>
</ul>
</div>


Mcnex Co Ltd (097520 KS) is a leading Korean manufacturer of camera modules for smartphones and autos. Our base case valuation for the company is 49,171 won, which would represent a 34% upside (one year) from current levels. Our base case valuation assumes a P/E multiple of 9.2x (10% premium to P/E multiple in 2019) and net profit of 95.6 billion won (current consensus estimates).
Catalysts


Excellent demand for Samsung's mid-to-high end smartphones - The company is a key beneficiary of the continued excellent demand for Samsung's mid-to-high end smartphones including Galaxy S, Fold, and A Series as millions of consumers seek high-pixel and ultra-wide-angle cameras included smartphones.


Adoption of Level 3 autonomous vehicles in Korea - For full details, see our report, A Comprehensive List of Korean Companies Benefiting from Sale of Level 3 Autonomous Vehicles in July. 

Improving capacity utilization rates of its manufacturing operations



Mcnex - A Leading Producer of Camera Modules for Smartphones and Autos

<div class="content-highlight"><p><strong>On January 5th, the South Korean government (Transport Ministry) announced that it will allow automakers to start selling vehicles with basic <a href="http://www.koreaherald.com/view.php?ud=20200105000078" target="_blank" rel="noopener">Level 3 autonomous technology</a> in Korea starting July 2020, which would make the country the first to adopt Level 3 self-driving standards in the world.</strong> In this report, we provide a comprehensive list of 20 Korean companies that are likely to benefit from this regulation that would benefit from the adoption of the Level 3 autonomous vehicles technology. </p></div>

On January 5th, the South Korean government (Transport Ministry) announced that it will allow automakers to start selling vehicles with basic Level 3 autonomous technology in Korea starting July 2020, which would make the country the first to adopt Level 3 self-driving standards in the world. In this report, we provide a comprehensive list of 20 Korean companies that are likely to benefit from this regulation that would benefit from the adoption of the Level 3 autonomous vehicles technology. 

A Comprehensive List of Korean Companies Benefiting from Sale of Level 3 Autonomous Vehicles in July

South Korea

Mcnex Co., Ltd. manufactures and develops camera module for mobile phones and automobiles.

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

MCNEX Co Ltd (097520 KS)

KOSDAQ Short/Loan Int: Pearl Abyss on Radar for Recent Bounce & Big Names KOSPI Moving

This post compiles weekly flow in short/loan interest for KOSDAQ stocks. It looks into Pearl Abyss for a substantial increase in loan interest and...

Sanghyun Park

Short-Selling Rule Change in Korea: Potential Names for Short Squeezing

Multiple news outlets in Korea have reported late last night that the Korea FSC would announce the first-phase measures of new restrictions for...

Sanghyun Park

Top 7 Investment Ideas from Top 200 Youtube Channels in Korea (Mukbang Included)

In this insight, I analyze the top 200 Youtube channels in Korea and provide the top 7 investment ideas from this data. For the top 200 most...

Douglas Kim

Mcnex - A Leading Producer of Camera Modules for Smartphones and Autos

Mcnex Co Ltd (097520 KS) is a leading Korean manufacturer of camera modules for smartphones and autos. Our base case valuation for the company is...

Douglas Kim

A Comprehensive List of Korean Companies Benefiting from Sale of Level 3 Autonomous Vehicles in July

On January 5th, the South Korean government (Transport Ministry) announced that it will allow automakers to start selling vehicles with basic Level...

Douglas Kim

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)