Pan-Asia Catalysts/Events, Quiddity Advisors

Travis Lundy

Pan-Asia Catalysts/Events

Quiddity Advisors

Event-Driven

<ul>
<li>On 30 October, an FT <a href="https://www.ft.com/content/d237189f-d372-474d-981e-c1d3b32c3c8c" target="_blank" rel="noopener">article</a> appeared which pushed <a href="https://www.smartkarma.com/entities/fujitec-co-ltd" target="_blank" data-smartkarma-citation="entities:11686:1" rel="noopener">Fujitec Co Ltd (6406 JP)</a> shares sharply higher. The headline? "Japanese lift maker Fujitec explores sale to private equity"
</li>
<li>The next day, mid-day, Fujitec "<a href="https://www.fujitec.com/uploads/2024/10/241031_hodo_en.pdf" target="_blank" rel="noopener">corrected</a>" the record, saying the articles (FT and others, presumably) contained "inaccuracies", including that "Fujitec is working to find a buyer."</li>
<li>They mention they have received a preliminary and non-binding initial proposal. The stock continued higher after that. Now investors have to decide how attractive an elevator/escalator business really is.</li>
</ul>


On 30 October, an FT article appeared which pushed Fujitec Co Ltd (6406 JP) shares sharply higher. The headline? "Japanese lift maker Fujitec explores sale to private equity"

The next day, mid-day, Fujitec "corrected" the record, saying the articles (FT and others, presumably) contained "inaccuracies", including that "Fujitec is working to find a buyer."
They mention they have received a preliminary and non-binding initial proposal. The stock continued higher after that. Now investors have to decide how attractive an elevator/escalator business really is.


Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

Our bullish outlook remains intact and is supported by the absence of breakdowns across major global indexes (MSCI ACWI, ACWI ex-US, EM, and EAFE) and ongoing positive market dynamics. Until this changes, we believe global equities are headed higher in the coming weeks and months.

Our bullish outlook remains intact and is supported by the absence of breakdowns across major global indexes (MSCI ACWI, ACWI ex-US, EM, and EAFE) and ongoing positive market dynamics. Until this changes, we believe global equities are headed higher in the coming weeks and months.

Global Equity Strategy: Stick With Reflation & Reopening Theme

The number of major country indexes showing major bullish inflections continues to grow. Broad commodities (Bloomberg Commodity index) also display a bullish reversal topside a 12.5-year downtrend. This type of evidence helps affirm our bullish outlook and suggests higher prices are ahead. Continue to add exposure on pullbacks.

The number of major country indexes showing major bullish inflections continues to grow. Broad commodities (Bloomberg Commodity index) also display a bullish reversal topside a 12.5-year downtrend. This type of evidence helps affirm our bullish outlook and suggests higher prices are ahead. Continue to add exposure on pullbacks.

Long-Term Bullish Inflections For Hang Seng, DAX, MSCI EM, & Bloomberg Commodity Index

Director | Exposing Creative Accounting, Bucephalus Research Partnership

Robert Medd

Director | Exposing Creative Accounting

Exposing Creative Accounting

Bucephalus Research Partnership

Bucephalus Research Partnership Limited. Exposing Creative Accounting.

At the Bucephalus Research Partnership (BRP) we analyse financial statements using our accountant's practical experience and our own quantitative algorithms for corporate governance, accounting risk and peer performance.

Our thematic research refines our unique algorithms while our single stock research focuses on examples where we discover a significant gap between published accounts and business reality.

​Bucephalus Research Partnership:
- Is an independent fee-based research service
- Does not take proprietary positions, long or short
- Does not solicit business or fees from the corporates we review

Forensic Accounting

The spectacular sale of Elevators has transformed TKA’s balance sheet and the performance problems are finally being addressed. The cash from the sale will more than cover COVID losses, the restructuring and restore TKA to health. A management prioritising productivity and margin over revenue should transform both P&amp;L and cashflow. We estimated 16-19,000 job cuts, but with the new plan, 23,000 jobs and E6bn of revenue will be off-loaded. The supervisory board has a poor track record, but the shareholder appointees have been renewed so they may deliver. Investors can buy cash at a discount with a free option on a turnaround. On 2.5x EV/fEBITDA, it is time to BUY:

The spectacular sale of Elevators has transformed TKA’s balance sheet and the performance problems are finally being addressed. The cash from the sale will more than cover COVID losses, the restructuring and restore TKA to health. A management prioritising productivity and margin over revenue should transform both P&amp;L and cashflow. We estimated 16-19,000 job cuts, but with the new plan, 23,000 jobs and E6bn of revenue will be off-loaded. The supervisory board has a poor track record, but the shareholder appointees have been renewed so they may deliver. Investors can buy cash at a discount with a free option on a turnaround. On 2.5x EV/fEBITDA, it is time to BUY:

The Bucephalus Idea Generator (BIG) picks stocks by combining our work on Creative Accounting and our work on capex and valuation cycles to see which companies are forecast to generate extreme returns and/or are on extreme valuations. The model then creates performance outcomes to search for absolute and relative investment ideas.We run the model every month to see what has changed and which companies are worthy of further investigation.<a href="https://www.buceph.com/bucephalus-idea-model-604975.html" target="_blank">Click here </a>to download a sample company overview from the Bucephalus Idea Generator.

The Bucephalus Idea Generator (BIG) picks stocks by combining our work on Creative Accounting and our work on capex and valuation cycles to see which companies are forecast to generate extreme returns and/or are on extreme valuations. The model then creates performance outcomes to search for absolute and relative investment ideas.We run the model every month to see what has changed and which companies are worthy of further investigation.Click here to download a sample company overview from the Bucephalus Idea Generator.

Extreme Valuations: Global Stock Ideas Using the BORUC Yield

Germany

ThyssenKrupp AG manufactures industrial components.  The Company produces flat rolled and cast steel, automobile parts, elevators and escalators, machine tools, bearings, nonferrous metals and plastics, develops and manages real estate, and designs and constructs factories.

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

ThyssenKrupp AG (TKA GR)

Fujitec (6406 JP) - On the Block?

Fujitec may be on the block. An FT article suggests the company is talking to PE firms (wholly unsurprising) and the firm's "clarification" says a...

Travis Lundy

Global Equity Strategy: Stick With Reflation & Reopening Theme

Our bullish outlook remains intact supported by the absence of breakdowns across major global indexes. Until this changes, we believe global...

Vermilion Research

Long-Term Bullish Inflections For Hang Seng, DAX, MSCI EM, & Bloomberg Commodity Index

The number of major country indexes showing major bullish inflections continues to grow. Broad commodities also breaking a 12.5-year downtrend....

Vermilion Research

Thyssenkrupp: Turnaround Underway

The spectacular sale of Elevators has transformed TKA’s balance sheet and the performance problems are finally being addressed. The cash from the...

Bucephalus Research Partnership

Extreme Valuations: Global Stock Ideas Using the BORUC Yield

The Bucephalus Idea Generator (BIG) picks stocks by combining our work on Creative Accounting and our work on capex and valuation cycles to see...

Bucephalus Research Partnership

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)