Smartkarma Daily Briefs

The Genex Power Ltd (GNX AU) IE considers Electric Power Development C (9513 JP)’s scheme (A$0.275) and off-market takeover offer (A$0.270) fair and reasonable.
The offer is conditional on FIRB and shareholder approval. Skip Capital, which can block the scheme, has not declared its intention regarding J-Power’s offer or launched a competing offer.
Skip’s silence suggests a greater probability of accepting the scheme offer. If the scheme fails, the takeover offer, due to its structure and price, caps the downside.

Quiddity ASX Jun 24 Rebal: Regular Index Changes + One Potential Intra-Review Replacement

By Janaghan Jeyakumar, CFA

The ASX 20/50/100 index changes for the June 2024 index rebal event was announced after market close on Friday 7th June 2024.
In this insight, we take a look at our flow expectations for the ADDs/DELs and the trends in short interest buildup for these names.
Separately, the completion of the CSR Ltd (CSR AU) M&A deal could trigger an intra-review deletion in June 2024 and the potential replacement name could have very high-impact.

Ama Group (AMA ) – Sunday, Mar 10, 2024

Key points

AMA Group is positioned as the dominant player in the Australian vehicle repair industry
The company offers opportunities for revenue and cost synergies similar to Boyd’s success in North America
Mimval’s 2022 write-up on AMA reflects optimism for the company’s growth potential and ability to capitalize on opportunities in the market

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

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Jun 10

Daily Brief Singapore: Yuexiu Property and more

By Smartkarma Daily Briefs | Daily Briefs, Singapore

In today’s briefing:

Morning Views Asia: Lippo Malls Indonesia Retail Trust, Meituan, Yuexiu Property

Morning Views Asia: Lippo Malls Indonesia Retail Trust, Meituan, Yuexiu Property

By Leonard Law, CFA

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

Lippo Malls Indonesia Retail Trust
Meituan
Yuexiu Property

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Jun 10

Daily Brief South Korea: Jeisys Medical and more

By Smartkarma Daily Briefs | Daily Briefs, South Korea

In today’s briefing:

Breakdown of Archimed’s Massive Tender Offer for Jeisys Medical Shareholders

Breakdown of Archimed’s Massive Tender Offer for Jeisys Medical Shareholders

By Sanghyun Park

Archimed aims to acquire 72% of Jeisys Medical’s shares, totaling 55,724,838 shares. The tender offer runs from the 10th of this month to the 22nd of the following month.
If tendered shares fall short of the 18,013,879 minimum, Archimed refrains from purchases. If exceeded, Archimed buys all, eliminating allocation risk.
With over 70% substantial volume and a large portion held by local retail investors, surpassing the 26% threshold seems feasible.

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Jun 10

Daily Brief China: Greatview Aseptic Packaging, China Oilfield Services H, Asia Cement China, S.F. Holding, CNOOC Ltd, Tencent, NAURA Technology Group, Genscript Biotech, Robosense Technology and more

By Smartkarma Daily Briefs | China, Daily Briefs

In today’s briefing:

Merger Arb Mondays (10 Jun) – GA Pack, Asia Cement, CPMC, Nagatanien, APM, Ansarada, Genex, Hollysys
A/H Premium Tracker (To 7 Jun 2024): Hs Outperform Their As. Great Wall (2333) Suffers, Utes Win
Asia Cement China (743.HK) Privatization- There May Be “Surprises” Despite Disappointing Offer Price
SF Holding Pre-IPO: FY23, Q124 Results Reviewed | Sales Mix Impacts | Recent Monthly Revenue Trend
HK Connect SOUTHBOUND Flows (To 7 June 2024); China Mobile, Energy, Financials All Bought Bigly
ECM Weekly (10th June 2024) – Webtoon, Shift Up, QuantumPharm, Guzman, Kakaopay, Telix, Yankuang
Mainland Connect NORTHBOUND Flows (To 7 June 2024): Large Renewables Buying Drive Small Net Buying
China Healthcare Weekly (Jun.9) – New Akeso-Summit Deal, Jacobio Is a Good Bet, Genscript’s Trouble
China Consumption Weekly (10 Jun 2024): Tencent, PDD, Meituan, NIO, Tuniu, Smart Share
RoboSense Technology: Pre-IPO Investors and Shareholders May Sell Shares As IPO Lock-Up Ends in July

Merger Arb Mondays (10 Jun) – GA Pack, Asia Cement, CPMC, Nagatanien, APM, Ansarada, Genex, Hollysys

We summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
Highest spreads: Yichang HEC Changjiang Pharma (1558 HK), Hollysys Automation Technologies (HOLI US), Ansarada Group Ltd (AND AU), Asia Cement China (743 HK), Greatview Aseptic Packaging (468 HK).
Lowest spreads: Alumina Ltd (AWC AU), Great Eastern Holdings (GE SP), Pact Group Holdings (PGH AU), Nagatanien Holdings (2899 JP), Mimasu Semiconductor Industry (8155 JP), QV Equities Ltd (QVE AU).

A/H Premium Tracker (To 7 Jun 2024): Hs Outperform Their As. Great Wall (2333) Suffers, Utes Win

The New/Better A-H Premium Tracker has tables, charts, measures galore to track A/H premium positioning, southbound and northbound positioning/volatility in pairs over time, etc.
SOUTHBOUND’s renewed buy streak continued this past week; every day net positive. Strong net buying. NORTHBOUND saw small net buying on renewables, utilities, and semiconductors.
AH Premia rebounded off multi-year lows, on average, this past week as Hang Seng/other HK indices fell and A-shares did not do much. Liquid Hs underperformed As by 2%.

Asia Cement China (743.HK) Privatization- There May Be “Surprises” Despite Disappointing Offer Price

By Xinyao (Criss) Wang

Since the China/Taiwan situation looks increasingly tense, Xu Xudong/Far Eastern Group may be eager to privatize ACC considering geopolitical conflicts and political risks. Its business is subject to strict regulation.
HK$3.22 Offer Price is disappointing, but the privatization isn’t completely impossible (The headcount does not apply now). A certain number of investors are still willing to accept the Offer Price.
For arbitrageurs, the return looks not bad. However, considering the high uncertainties/failure risks, we still advise investors to be cautious. HK$2.5/share is a price point worth participating in.

SF Holding Pre-IPO: FY23, Q124 Results Reviewed | Sales Mix Impacts | Recent Monthly Revenue Trend

By Daniel Hellberg

In this insight we cover recent earnings results, revenue mix, YTD trends
Fluctuating performance of its international segment impacted FY23 and Q124
Improving international segment could boost overall momentum in Q2-Q4 2024

HK Connect SOUTHBOUND Flows (To 7 June 2024); China Mobile, Energy, Financials All Bought Bigly

SOUTHBOUND was again a net buyer, for HK$27.2bn this week, on small two-way volumes. China Mobile (941 HK) dominated as it reached dividend ex-date. Other high-div SOEs also saw buying.
It is not clear how much of this is H/A discounts, expected dividend tax removal, and the KPIs for SOE CEOs to raise prices and payout ratios, but it continues.
Valuations are acceptable. Flows are good. Policy changes are afoot. SOUTHBOUND may continue to see inflows – national team and otherwise.

ECM Weekly (10th June 2024) – Webtoon, Shift Up, QuantumPharm, Guzman, Kakaopay, Telix, Yankuang

By Sumeet Singh

Aequitas Research puts out a weekly update on the deals that were covered by the team recently along with updates for upcoming IPOs.
On the IPO front, we looked at Guzman Y Gomez (0817833D AU), QuantumPharm (QUP HK) and Webtoon Entertainment (WBTN US) this week.
On the placement front, there were a few deals across Hong Kong, Australia and Japan.

Mainland Connect NORTHBOUND Flows (To 7 June 2024): Large Renewables Buying Drive Small Net Buying

The Quiddity Mainland Connect NORTHBOUND Monitor. Like the A/H Premium Monitor and HK Connect SOUTHBOUND Monitor. Lots of Flows/Position Tables and Charts with which to play.
Last week saw NORTHBOUND net BUY RMB 5.3bn of A-shares on lower gross volumes. NORTHBOUND bought utilities, renewables, and semiconductors, and sold Kweichow Moutai, Midea, Bk Jiangsu, and Wuliangye Yibin.
Ongoing questions as to whether the NORTHBOUND volumes to the buy side are all foreigners. Some suspect there is national team buying mixed in, as was expected from earlier announcements.

China Healthcare Weekly (Jun.9) – New Akeso-Summit Deal, Jacobio Is a Good Bet, Genscript’s Trouble

By Xinyao (Criss) Wang

One interesting interpretation of the new Akeso-summit cooperation is that it aims to pave the way for potential acquisition of Summit by MNC. The climax of the story hasn’t arrived.
Jacobio is a good target for potential M&A and licensing deals. So, this company has considerable potential returns and also strong safety margin, which is worth taking a gamble on.
There’re concerns that Genscript could face US scrutiny due to alleged ties with Chinese government. Share price rebound may not last considering geopolitical conflicts and CXO industry downturn in 24H1.

China Consumption Weekly (10 Jun 2024): Tencent, PDD, Meituan, NIO, Tuniu, Smart Share

By Ming Lu

Tuniu’s revenue grew by 71% YoY in 1Q24, as the company benefited from the travel industry’s recovery.
Smart Share Global’s revenue plunged by 52% YoY in 1Q24 due to fewer customers in shopping malls.
PDD plans to price products on behalf of retailers, which reflects the severe competition in e-commerce.

RoboSense Technology: Pre-IPO Investors and Shareholders May Sell Shares As IPO Lock-Up Ends in July

By Andrei Zakharov

Shares of RoboSense Technology, a mass producer of LiDAR products and perception solutions, rose ~86% since IPO and outperformed Hesai Group and Hang Seng Index on a YTD basis.
Founder-Led LiDAR company priced its IPO at HK$43/share and raised ~HK$1B gross proceeds in January. RoboSense shares fell on first day of public trading on the Hong Kong stock exchange.
Today, RoboSense Technology became the most valuable LiDAR company in the world and is now valued at roughly $4.6B.

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Jun 10

Daily Brief United States: KKR & Co, Capri Holdings , Dropbox Inc, Signature Bank and more

By Smartkarma Daily Briefs | Daily Briefs, United States

In today’s briefing:

S&P500/400/600 Index Rebalance: Huge Size to Trade in a Few Stocks
Capri Holdings Ltd (CPRI) – Sunday, Mar 10, 2024
Dropbox Inc (DBX) – Sunday, Mar 10, 2024
Signature Bank (SBNY) – Sunday, Mar 10, 2024

S&P500/400/600 Index Rebalance: Huge Size to Trade in a Few Stocks

There are 3 changes for the S&P 500 INDEX, 7 changes for the S&P Midcap400 Index and 13 changes for the S&P SmallCap600 Index at the June rebalance.
There is huge size to trade in KKR & Co (KKR US) and Crowdstrike Holdings (CRWD US) and both stocks were up big in the after-hours market.
There has been positioning in some stocks recently but stocks including KKR & Co, RB Global and Texas Pacific Land could see further positioning in the next week.

Capri Holdings Ltd (CPRI) – Sunday, Mar 10, 2024

Tapestry is acquiring Capri, which owns Michael Kors, Versace, and Jimmy Choo
FTC is scrutinizing the merger due to antitrust concerns in the affordable luxury market
Capri’s deteriorating fundamentals may lead to a break price of $25 per share, with uncertain success of the acquisition

Dropbox Inc (DBX) – Sunday, Mar 10, 2024

Key points

Dropbox was last pitched in August 2022 with nearly reached $1B FCF guidance for 2024
Company hit a plateau with guidance for $957M to $997M in last earnings call, factoring in stock-based compensation resulting in over $620M in FCF on an $8.1B equity
Despite recent drop in equity value, Dropbox offers higher earnings yield and potential upside in equity value compared to Box

Signature Bank (SBNY) – Sunday, Mar 10, 2024

High potential for additional recoveries with longer liquidation period
Solvent receivership of Signature Bank offers compelling investment opportunity
Potential for substantial upside for common equity, preferred equity, and unsecured bonds

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Jun 10

Daily Brief India: Siemens Ltd, NIFTY Index and more

By Smartkarma Daily Briefs | Daily Briefs, India

In today’s briefing:

NIFTY200 Momentum30 Index Rebalance: 13 Changes, 42% Turnover, Momentum Recovers After Selloff
EQD / Weekly Vol Update / IVs Crushed Post Elections but Realized Vol Does Not Disappoint

NIFTY200 Momentum30 Index Rebalance: 13 Changes, 42% Turnover, Momentum Recovers After Selloff

There are 13 changes for the Nifty200 Momentum 30 Index that will be implemented at the close on 27 June.
Estimated one-way turnover is 42.3% resulting in a one-way trade of INR 32bn (US$384m). There are 13 stocks with over 0.5x ADV to trade, mostly on the deletes.
After steady outperformance over the last few months, there was a selloff in momentum names following the announcement of the election results. There has been a recovery since then.

EQD / Weekly Vol Update / IVs Crushed Post Elections but Realized Vol Does Not Disappoint

By Sankalp Singh

IVs were crushed in the aftermath of Election results & in spite of lingering political instability & significant moves in RV.
Vol-Regime Switching Model is holding at “High & Up” state. Probability of switching to “High & Down” state has increased significantly.
Vol term structure is still in Backwardation – should transition to Contango as IV & RV drift lower.

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Jun 10

Daily Brief Japan: ROHM Co Ltd, TSE Tokyo Price Index TOPIX and more

By Smartkarma Daily Briefs | Daily Briefs, Japan

In today’s briefing:

Rohm (6963 JP): Negative Scenario Discounted
Challenge Is to Raise Governance and Return on Capital for More Companies Beyond Matching Numbers

Rohm (6963 JP): Negative Scenario Discounted

By Scott Foster

Japanese semiconductor equipment stocks have started to drop back, but device maker Rohm is already down 25% year-to-date and down 43% from its 52-week high.
Rohm’s operating profit fell 53% last fiscal year and management is guiding for a 68% decline in in FY Mar-25. Investment in power devices remains strong despite weak sales.
1H guidance is for an 80% year-on-year decline in operating profit on a 6% decline in sales. Buy into this weakness. Recovery should start in 2H.

Challenge Is to Raise Governance and Return on Capital for More Companies Beyond Matching Numbers

By Aki Matsumoto

The “30% female board member goal” appears to be more about matching numbers with results rather than discussing the positive impact of diversity on the board.
Over the past year, corporate governance improved only modestly for all listed companies, but few that improved their corporate governance raised the percentages of female board members and independent directors.
Given the strong influence between improvements in governance and return on capital and foreign ownership, it’s difficult for a company to transform itself without the reach of overseas investor engagement.

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Jun 10

Most Read: SK Square , KKR & Co, Yanolja, CPMC Holdings, Greatview Aseptic Packaging, Jeisys Medical, Genex Power Ltd, Far Eastern New Century, China Oilfield Services H and more

By Smartkarma Daily Briefs | Daily Briefs, Most Read

In today’s briefing:

Potential Merger Dynamics Involving SK Inc, SK Square, & SK Hynix
S&P500/400/600 Index Rebalance: Huge Size to Trade in a Few Stocks
Initial Thoughts on the Yanolja IPO
Game On As ORG Lobs Competing Offer For CPMC (906 HK)
Merger Arb Mondays (10 Jun) – GA Pack, Asia Cement, CPMC, Nagatanien, APM, Ansarada, Genex, Hollysys
Japan Weekly | JMDC, Sanrio, Lasertec, Hakuhodo
Breakdown of Archimed’s Massive Tender Offer for Jeisys Medical Shareholders
Genex Power (GNX AU): Scheme Vote on 16 July as Skip Remains Silent
Quiddity TDIV/50/100 Jun 24 Rebal: 15/18 Hits; Updated Flow Expectations and Trade Ideas
A/H Premium Tracker (To 7 Jun 2024): Hs Outperform Their As. Great Wall (2333) Suffers, Utes Win

Potential Merger Dynamics Involving SK Inc, SK Square, & SK Hynix

By Sanghyun Park

Regardless of the divorce proceedings, SK still urgently needs SK Inc’s stock price to rise for other reasons. That reason is to position SK Hynix directly under SK Inc.
SK Inc boosts stake in SK Square with SK Telecom shares, followed by a public tender offer to exchange SK Square shares for new SK Inc shares.
SK Inc’s involvement in the divorce lawsuit makes it a focus for traders seeking relative outperformance among the SK companies involved in this situation.

S&P500/400/600 Index Rebalance: Huge Size to Trade in a Few Stocks

There are 3 changes for the S&P 500 INDEX, 7 changes for the S&P Midcap400 Index and 13 changes for the S&P SmallCap600 Index at the June rebalance.
There is huge size to trade in KKR & Co (KKR US) and Crowdstrike Holdings (CRWD US) and both stocks were up big in the after-hours market.
There has been positioning in some stocks recently but stocks including KKR & Co, RB Global and Texas Pacific Land could see further positioning in the next week.

Initial Thoughts on the Yanolja IPO

By Douglas Kim

Yanolja is getting ready to complete its IPO in the US in the next several months. Softbank invested about US$1.7 billion in Yanolja in 2021.
The valuation of Yanolja could be between US$7 billion to US$9 billion. The company could raise nearly US$400 million in this IPO.
Overall, we are concerned about the valuations of Yanolja if indeed the bankers push ahead with the IPO at the valuation range of US$7 billion to US$9 billion.

Game On As ORG Lobs Competing Offer For CPMC (906 HK)

By David Blennerhassett

After six months had elapsed, and CPMC Holdings (906 HK)‘s Offeror just needing SAMR/SAFE clearance before launching a firm bid, a competing Offer from ORG Technology (002701 CH) appeared unlikely.
Yet in a surprise move, ORG has made a pre-conditional (NDRC, SAFE, MoC, SAMR, and shareholder approval) Offer at HK$7.21/share, a 4.9% premium to the ongoing SASAC/NCSSF Offer.
ORG’s pre-con Offer also has a 50% acceptance condition. ORG and concert parties have 24.43%. And Zhang Wei (22.01%) has given has an irrevocable. Directors have 0.87%. Intriguing situation.

Merger Arb Mondays (10 Jun) – GA Pack, Asia Cement, CPMC, Nagatanien, APM, Ansarada, Genex, Hollysys

We summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
Highest spreads: Yichang HEC Changjiang Pharma (1558 HK), Hollysys Automation Technologies (HOLI US), Ansarada Group Ltd (AND AU), Asia Cement China (743 HK), Greatview Aseptic Packaging (468 HK).
Lowest spreads: Alumina Ltd (AWC AU), Great Eastern Holdings (GE SP), Pact Group Holdings (PGH AU), Nagatanien Holdings (2899 JP), Mimasu Semiconductor Industry (8155 JP), QV Equities Ltd (QVE AU).

Japan Weekly | JMDC, Sanrio, Lasertec, Hakuhodo

By Mark Chadwick

Global markets retained their positive momentum as weak U.S. economic data renewed concerns about the growth outlook.
Next week is set to be eventful, with the FOMC and Bank of Japan meetings on the agenda. The FOMC, expected to maintain policy rates, might offer few surprises.
Oil prices, after a five-day decline, rebounded as OPEC+ extended production cuts through 2025.

Breakdown of Archimed’s Massive Tender Offer for Jeisys Medical Shareholders

By Sanghyun Park

Archimed aims to acquire 72% of Jeisys Medical’s shares, totaling 55,724,838 shares. The tender offer runs from the 10th of this month to the 22nd of the following month.
If tendered shares fall short of the 18,013,879 minimum, Archimed refrains from purchases. If exceeded, Archimed buys all, eliminating allocation risk.
With over 70% substantial volume and a large portion held by local retail investors, surpassing the 26% threshold seems feasible.

Genex Power (GNX AU): Scheme Vote on 16 July as Skip Remains Silent

The Genex Power Ltd (GNX AU) IE considers Electric Power Development C (9513 JP)’s scheme (A$0.275) and off-market takeover offer (A$0.270) fair and reasonable.
The offer is conditional on FIRB and shareholder approval. Skip Capital, which can block the scheme, has not declared its intention regarding J-Power’s offer or launched a competing offer.
Skip’s silence suggests a greater probability of accepting the scheme offer. If the scheme fails, the takeover offer, due to its structure and price, caps the downside.

Quiddity TDIV/50/100 Jun 24 Rebal: 15/18 Hits; Updated Flow Expectations and Trade Ideas

By Janaghan Jeyakumar, CFA

The index changes for the T50/100 index family and the TDIV index were confirmed after market close on Friday 7th June 2024.
While the T50 and T100 index changes were perfectly in line with our expectations there were some surprises among the TDIV index changes.
In this insight, we take a look at Quiddity’s final flow expectations for the June 2024 index rebal event and potential trade ideas based on the flow dynamics.

A/H Premium Tracker (To 7 Jun 2024): Hs Outperform Their As. Great Wall (2333) Suffers, Utes Win

The New/Better A-H Premium Tracker has tables, charts, measures galore to track A/H premium positioning, southbound and northbound positioning/volatility in pairs over time, etc.
SOUTHBOUND’s renewed buy streak continued this past week; every day net positive. Strong net buying. NORTHBOUND saw small net buying on renewables, utilities, and semiconductors.
AH Premia rebounded off multi-year lows, on average, this past week as Hang Seng/other HK indices fell and A-shares did not do much. Liquid Hs underperformed As by 2%.

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Jun 10

Daily Brief TMT/Internet: Tencent, NAURA Technology Group, Robosense Technology, Dropbox Inc, NetEase and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

ECM Weekly (10th June 2024) – Webtoon, Shift Up, QuantumPharm, Guzman, Kakaopay, Telix, Yankuang
Mainland Connect NORTHBOUND Flows (To 7 June 2024): Large Renewables Buying Drive Small Net Buying
China Consumption Weekly (10 Jun 2024): Tencent, PDD, Meituan, NIO, Tuniu, Smart Share
RoboSense Technology: Pre-IPO Investors and Shareholders May Sell Shares As IPO Lock-Up Ends in July
Dropbox Inc (DBX) – Sunday, Mar 10, 2024
NetEase (9999-HK): Market Share Winner, Supported by Buybacks and Dividends

ECM Weekly (10th June 2024) – Webtoon, Shift Up, QuantumPharm, Guzman, Kakaopay, Telix, Yankuang

By Sumeet Singh

Aequitas Research puts out a weekly update on the deals that were covered by the team recently along with updates for upcoming IPOs.
On the IPO front, we looked at Guzman Y Gomez (0817833D AU), QuantumPharm (QUP HK) and Webtoon Entertainment (WBTN US) this week.
On the placement front, there were a few deals across Hong Kong, Australia and Japan.

Mainland Connect NORTHBOUND Flows (To 7 June 2024): Large Renewables Buying Drive Small Net Buying

The Quiddity Mainland Connect NORTHBOUND Monitor. Like the A/H Premium Monitor and HK Connect SOUTHBOUND Monitor. Lots of Flows/Position Tables and Charts with which to play.
Last week saw NORTHBOUND net BUY RMB 5.3bn of A-shares on lower gross volumes. NORTHBOUND bought utilities, renewables, and semiconductors, and sold Kweichow Moutai, Midea, Bk Jiangsu, and Wuliangye Yibin.
Ongoing questions as to whether the NORTHBOUND volumes to the buy side are all foreigners. Some suspect there is national team buying mixed in, as was expected from earlier announcements.

China Consumption Weekly (10 Jun 2024): Tencent, PDD, Meituan, NIO, Tuniu, Smart Share

By Ming Lu

Tuniu’s revenue grew by 71% YoY in 1Q24, as the company benefited from the travel industry’s recovery.
Smart Share Global’s revenue plunged by 52% YoY in 1Q24 due to fewer customers in shopping malls.
PDD plans to price products on behalf of retailers, which reflects the severe competition in e-commerce.

RoboSense Technology: Pre-IPO Investors and Shareholders May Sell Shares As IPO Lock-Up Ends in July

By Andrei Zakharov

Shares of RoboSense Technology, a mass producer of LiDAR products and perception solutions, rose ~86% since IPO and outperformed Hesai Group and Hang Seng Index on a YTD basis.
Founder-Led LiDAR company priced its IPO at HK$43/share and raised ~HK$1B gross proceeds in January. RoboSense shares fell on first day of public trading on the Hong Kong stock exchange.
Today, RoboSense Technology became the most valuable LiDAR company in the world and is now valued at roughly $4.6B.

Dropbox Inc (DBX) – Sunday, Mar 10, 2024

Key points

Dropbox was last pitched in August 2022 with nearly reached $1B FCF guidance for 2024
Company hit a plateau with guidance for $957M to $997M in last earnings call, factoring in stock-based compensation resulting in over $620M in FCF on an $8.1B equity
Despite recent drop in equity value, Dropbox offers higher earnings yield and potential upside in equity value compared to Box

NetEase (9999-HK): Market Share Winner, Supported by Buybacks and Dividends

By Wium Malan, CFA

Whilst the Chinese online games market has struggled since 2023, NetEase (9999 HK) has continued to gain revenue market share driven by the success of its mobile titles.
Future revenue growth will depend on the continued success of NetEase’s legacy titles and its robust pipeline of upcoming releases, including several highly anticipated launches.
NetEase trades nearly 2 standard deviations below its 5-year historic average PE trading range, a level that has proved to be a very good entry point.

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Jun 10

Daily Brief Industrials: Far Eastern New Century, S.F. Holding, ROHM Co Ltd, Siemens Ltd and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

Quiddity TDIV/50/100 Jun 24 Rebal: 15/18 Hits; Updated Flow Expectations and Trade Ideas
SF Holding Pre-IPO: FY23, Q124 Results Reviewed | Sales Mix Impacts | Recent Monthly Revenue Trend
Rohm (6963 JP): Negative Scenario Discounted
NIFTY200 Momentum30 Index Rebalance: 13 Changes, 42% Turnover, Momentum Recovers After Selloff

Quiddity TDIV/50/100 Jun 24 Rebal: 15/18 Hits; Updated Flow Expectations and Trade Ideas

By Janaghan Jeyakumar, CFA

The index changes for the T50/100 index family and the TDIV index were confirmed after market close on Friday 7th June 2024.
While the T50 and T100 index changes were perfectly in line with our expectations there were some surprises among the TDIV index changes.
In this insight, we take a look at Quiddity’s final flow expectations for the June 2024 index rebal event and potential trade ideas based on the flow dynamics.

SF Holding Pre-IPO: FY23, Q124 Results Reviewed | Sales Mix Impacts | Recent Monthly Revenue Trend

By Daniel Hellberg

In this insight we cover recent earnings results, revenue mix, YTD trends
Fluctuating performance of its international segment impacted FY23 and Q124
Improving international segment could boost overall momentum in Q2-Q4 2024

Rohm (6963 JP): Negative Scenario Discounted

By Scott Foster

Japanese semiconductor equipment stocks have started to drop back, but device maker Rohm is already down 25% year-to-date and down 43% from its 52-week high.
Rohm’s operating profit fell 53% last fiscal year and management is guiding for a 68% decline in in FY Mar-25. Investment in power devices remains strong despite weak sales.
1H guidance is for an 80% year-on-year decline in operating profit on a 6% decline in sales. Buy into this weakness. Recovery should start in 2H.

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