Managing Director, Zero One, Zero One

Vincent Fernando, CFA

Managing Director, Zero One

Zero One

Founded in 2015, Zero One produces independent investment research and provides corporate finance advisory services with a focus on both listed and private technology companies. Founder Vincent Fernando has over 20 years of experience in US and Asia capital markets.

Independent Investment Research

Equity Bottom-Up

Taiwan Semiconductor (TSMC) / Equity Bottom-Up

<ul>
<li>Earnings season wrapping up -- Hon Hai &amp; Asustek recently reported... Some AI names rallied hard but our Nvidia L/S trade still working</li>
<li>Hon Hai’s margin expansion story is finally starting to be realized. Stock's perceived political risk could be an opportunity.</li>
<li>How Asustek plans to take the lead globally in AI PCs; Gaming PCs will be the first key battleground. MSI could be an interesting play on Asustek's recent strong performance.</li>
</ul>


Earnings season wrapping up -- Hon Hai &amp; Asustek recently reported... Some AI names rallied hard but our Nvidia L/S trade still working
Hon Hai’s margin expansion story is finally starting to be realized. Stock's perceived political risk could be an opportunity.
How Asustek plans to take the lead globally in AI PCs; Gaming PCs will be the first key battleground. MSI could be an interesting play on Asustek's recent strong performance.


Taiwan Tech Weekly: AI Names Rally But Nvidia Long/Short Still Working; Hon Hai & Asustek Take-Aways

Taiwan Tech Focused Senior Analyst

Patrick Liao

Hon Hai Precision Industry / Equity Bottom-Up

<ul>
<li>The 4Q23F results will be higher than 3Q23, but lower than 4Q22.</li>
<li>If the market is unchanged, and it will be slightly upside in 2024F market. </li>
<li>For the target of GM 10% is still unchanged in 2025F.</li>
</ul>


The 4Q23F results will be higher than 3Q23, but lower than 4Q22.
If the market is unchanged, and it will be slightly upside in 2024F market. 
For the target of GM 10% is still unchanged in 2025F.


Hon Hai (2317.TT): If the Market Is Unchanged, and It Will Be Slightly Upside in 2024 Market.

Taiwan Semiconductor (TSMC) - ADR / Equity Bottom-Up

<ul>
<li>TSMC's ADR premium is 10.4%, this is a decent level to short it based on the historical trading range.</li>
<li>UMC's ADR premium is near a good level to short the spread but one should wait for it to rise above 1.5% in our view.</li>
<li>UMC ADR short interest continues to trend higher; TSMC ADR short interest continues to fall.</li>
</ul>


TSMC's ADR premium is 10.4%, this is a decent level to short it based on the historical trading range.
UMC's ADR premium is near a good level to short the spread but one should wait for it to rise above 1.5% in our view.
UMC ADR short interest continues to trend higher; TSMC ADR short interest continues to fall.


Taiwan Dual Listings Monitor: TSMC ADR Spread at Decent Short Level; UMC ADR Short Interest Soaring

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

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

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.

Quantitative Analysis

<ul>
<li>We analyzed the changes in foreign holdings of TWSE Stocks as of Nov 10th which has an aggregated holding worth USD633.0bn.</li>
<li>We tabulate league table for top changes by value for 1 week, one 4 weeks, 1 year and top stocks held by foreign instutions by dollar value.</li>
<li>We estimate that foreign flows to be inflows of USD512mln and highlight foreign changes in TSMC, Taiwan Cement, Wistron.</li>
</ul>


We analyzed the changes in foreign holdings of TWSE Stocks as of Nov 10th which has an aggregated holding worth USD633.0bn.
We tabulate league table for top changes by value for 1 week, one 4 weeks, 1 year and top stocks held by foreign instutions by dollar value.
We estimate that foreign flows to be inflows of USD512mln and highlight foreign changes in TSMC, Taiwan Cement, Wistron.


TWSE Foreign Holding Weekly (Nov 10th): TSMC, Taiwan Cement, Wistron

Semiconductor Manufacturing International Corp (SMIC) / Equity Bottom-Up

Semiconductor Manufacturing International Corp (SMIC)

<ul>
<li>Based on the some judgments, SMIC consider it will be relatively flat demand in 2024F.</li>
<li>SMIC took into consideration geopolitical instability and allowed equipment vendors to submit orders in advance. </li>
<li>Currently, only a few manufacturers are stockpiling smartphones in response to this wave. The overall industry remains relatively stable.</li>
</ul>


Based on the some judgments, SMIC consider it will be relatively flat demand in 2024F.
SMIC took into consideration geopolitical instability and allowed equipment vendors to submit orders in advance. 
Currently, only a few manufacturers are stockpiling smartphones in response to this wave. The overall industry remains relatively stable.


SMIC (981.HK): Probably A Double U-Shape Correction for Around 2 Years Until the End of 2024F.

Taiwan

Taiwan Semiconductor Manufacturing Company, Ltd. manufactures and markets integrated circuits. The Company provides the following services: wafer manufacturing, wafer probing, assembly and testing, mask production, and design services. TSMC's ICs are used in computer, communication, consumer electronics, automotive, and industrial equipment industries.

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

Taiwan Semiconductor (TSMC) (2330 TT)

Taiwan Tech Weekly: AI Names Rally But Nvidia Long/Short Still Working; Hon Hai & Asustek Take-Aways

Also how Asustek plans to take the lead globally in AI PCs; Gaming PCs will be the first key battleground. MSI could be an interesting play on...

Vincent Fernando, CFA

Hon Hai (2317.TT): If the Market Is Unchanged, and It Will Be Slightly Upside in 2024 Market.

The 4Q23F results will be higher than 3Q23, but lower than 4Q22. If the market is unchanged, and it will be slightly upside in 2024F market. For...

Patrick Liao

Taiwan Dual Listings Monitor: TSMC ADR Spread at Decent Short Level; UMC ADR Short Interest Soaring

TSMC's ADR premium is 10.4%, this is a decent level to short it based on the historical trading range. Short interest in TSMC ADRs has continued to...

Vincent Fernando, CFA

TWSE Foreign Holding Weekly (Nov 10th): TSMC, Taiwan Cement, Wistron

We analyzed TWSE foreign holding data for the past week and highlight foreign holding changes in TSMC, Taiwan Cement, Wistron.

Ke Yan, CFA, FRM

SMIC (981.HK): Probably A Double U-Shape Correction for Around 2 Years Until the End of 2024F.

Based on the some judgments, SMIC consider it will be relatively flat demand in 2024F. SMIC took into consideration geopolitical instability and...

Patrick Liao

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)