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Smartkarma Daily Briefs

Mar 19
0

Most Read: Fast Retailing, JSR Corp, Korea Stock Exchange Kospi Index, Tata Consultancy Svcs, ITC Ltd, E.W. Scripps Co/The A, Orecorp Ltd, LG Corp, Samsung C&T and more

By | Daily Briefs, Most Read

In today’s briefing:

  • Fast Retailing (9983) – Now At Double Downweight Levels
  • JSR (4185 JP) – Launch of The Official Tender Offer (And the Double Arb)
  • Investigating the Size and Timing of Korea’s Local Dividend Arbitrage Traders’ Position Liquidation
  • TCS US$1.1bn Placement – Relatively Small but Isn’t Well Flagged, Could Have Implications for Others
  • ECM Weekly (18th Mar 2024) – ITC, Interglobe (Indigo), MS&AD, GlobalWafer, Belle, Auntea, Trial
  • Quiddity Leaderboard S&P 500 Jun 24 Rebal: Many Intra-Review Changes Possible Due to M&A, Spin-Offs
  • JSR Corporation (4185 JP): JIC Tender Starts and Should Succeed Despite Shin-Etsu’s Re-Rating
  • Orecorp Should Now Back Perseus’ Offer
  • LG Corp: Updated NAV Analysis Amid Ongoing Corporate Value Up Program in Korea
  • Exploring Trading Setups Utilizing NPS’s ESG Fund Flows After July

Fast Retailing (9983) – Now At Double Downweight Levels

By Travis Lundy

  • Fast Retailing (9983 JP) is the largest weight in the Nikkei 225. On Friday, it closed at 11.36% of the Nikkei 225, putting it well above the 10% cap level.
  • If the stock is above 10% on a pro-forma basis on the base date of 31 July 2024, it will get a capping coefficient. 8.4mm shares (US$2.5bn) to sell.
  • At Friday’s close, we were borderline above a double-downweight trigger. At Monday’s open, just below. 30mins later? Back well above. Lots of interesting issues and nuances here for a short.

JSR (4185 JP) – Launch of The Official Tender Offer (And the Double Arb)

By Travis Lundy

  • The Tender Offer is finally here. JIC announced the official launch after the close today.
  • JIC appears to be taking on the SUNY RF risk as-is. The Tender Offer details vs the original expectations in the late June 2023 document are unchanged. 
  • Once started, unless a US court approves an injunction causing regulatory delay, this is done. But there are path events. And of course there is a double arb here.

Investigating the Size and Timing of Korea’s Local Dividend Arbitrage Traders’ Position Liquidation

By Sanghyun Park

  • Estimating FINANCIAL INVESTMENT’s dividend arbitrage positions’ exact size and liquidation plans is challenging. Yet, past trading patterns suggest a substantial portion may be liquidated soon, akin to January’s volume (≥₩2T).
  • Many local market participants expect a scenario unfolding post-March, aligning with KOSPI companies rescheduling ex-dividend dates. Expect substantial position liquidation by April’s end, likely impacting index negatively, akin to January.
  • Position setups should adapt to short-term index corrections, leveraging earnings season for earnings-based spreads using index short hedging.

TCS US$1.1bn Placement – Relatively Small but Isn’t Well Flagged, Could Have Implications for Others

By Sumeet Singh

  • Tata Sons, holding company of Tata Group, is looking to raise around US$1.1bn via selling a 0.65% stake in Tata Consultancy Svcs (TCS IN).
  • The deal doesn’t appear to be well-flagged although it could be part of Tata Sons’ recent moves to avoid an RBI mandated listing next year.
  • In this note, we talk about the deal dynamics and run the deal through our ECM framework.

ECM Weekly (18th Mar 2024) – ITC, Interglobe (Indigo), MS&AD, GlobalWafer, Belle, Auntea, Trial

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, Hong Kong appears to be heading towards its first US$100m+ IPO for the year.
  • For placements, after a flurry of placements in the prior week, past week was relatively quiet with only the US$2bn ITC Ltd (ITC IN) block.

Quiddity Leaderboard S&P 500 Jun 24 Rebal: Many Intra-Review Changes Possible Due to M&A, Spin-Offs

By Travis Lundy

  • The S&P 500 index tracks the 500 largest names listed in the US and it is one of the most highly-tracked indices in the world.
  • The index is reviewed quarterly. The next review will be in June 2024 and the evaluation date for the rankings for the constituent selection process is 6th June 2024.
  • In this insight, we take a look at the Potential ADDs and Potential DELs for the June 2024 index rebal event and the intra-review ADDs/DELETEs.

JSR Corporation (4185 JP): JIC Tender Starts and Should Succeed Despite Shin-Etsu’s Re-Rating

By Arun George

  • JSR Corp (4185 JP) notes that the pre-condition for JIC’s tender has been satisfied. The offer price remains unchanged at JPY4,350 per share. 
  • The offer remains attractive despite the material re-rating of peers. The tender should succeed when combined with shareholder fatigue and a lack of vocal opposition. 
  • The tender requires a 66.7% minority acceptance rate. The gross and annualised spread for a 23 April payment is 0.6% and 7.1%, respectively.

Orecorp Should Now Back Perseus’ Offer

By David Blennerhassett

  • Back in August, Silvercorp  (SVM CN) bid A$0.15/share and 0.967 scrip for Orecorp (ORR AU); and secured board support after bumping the cash portion to A$0.19/share via an Off-market Offer.
  • Perseus Mining (PRU AU) countered on the 22 January with a A$0.55/share Offer, which was rejected by Orecorp, ostensibly over concerns Perseus had not secured Tanzanian Fair Competition Commission approval.
  • That regulatory approval has now been satisfied. The Offers for both Perseus and Silvercorp are conditional on 50.1% acceptance hurdles. I think Perseus’ all-cash Offer is superior.

LG Corp: Updated NAV Analysis Amid Ongoing Corporate Value Up Program in Korea

By Douglas Kim

  • Our NAV analysis of LG Corp suggests an implied market cap of 16.3 trillion won or 103,781 won per share which is 16% higher than current share price.
  • For holdco discount, we used a 50% holdco discount. If investors perceive improvement in value (such as through corporate governance improvements), the holdco discount on LG Corp would decline.
  • LG Corp’s shares are up 5.9% in the past six months, outperforming all the major LG Group related companies including LG Chem, LG H&H, LG Electronics, and LG Energy Solution. 

Exploring Trading Setups Utilizing NPS’s ESG Fund Flows After July

By Sanghyun Park

  • From July, Korea’s listed firms will disclose value enhancement plans. Korea’s NPS may exclude non-compliant firms, pending official response, though internal review suggests likely implementation.
  • It’s crucial to know portfolio stocks for proactive positioning. A setup targeting potential exclusion from NPS’s ESG funds due to post-July compliance must be designed.
  • Managers often use KRX ESG Leaders 150, aligning portfolios with it. Thus, it’s crucial to use this list for post-July compliance monitoring and to adapt setups for NPS’s flow impacts.

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Mar 19
0

Daily Brief Health Care: Establishment Labs Holdings In, Certara , Cencora , D.Western Therapeutics Institute Inc., Monash Ivf, SIGA Technologies and more

By | Daily Briefs, Healthcare

In today’s briefing:

  • Establishmnt Lbs Hldng (ESTA) – Monday, Dec 18, 2023
  • Certara Inc.: Initiation Of Coverage – A Diverse Product Portfolio & Interesting AI Initiatives! – Major Drivers
  • Cencora Inc.: These Are The 3 Biggest Challenges In Its Path For Growth! – Key Drivers
  • 4Q Follow-Up -D. Western Therapeutics Institute (DWTI) | 4576
  • Monash Ivf (MVF AU): Secular Industry Tailwinds+ Strong Market Positioning= Multi-Year Growth
  • SIGA Technologies – Onwards and upwards with strong FY23

Establishmnt Lbs Hldng (ESTA) – Monday, Dec 18, 2023

By Value Investors Club

  • Establishment Labs is a Costa Rican company known for manufacturing and selling breast implants, with their Motiva implant gaining market share from competitors.
  • The stock price of ESTA has recently dropped significantly due to a weak Q3 and lowered guidance, presenting an opportunity for investors to get into the dominant player in the breast augmentation market at a discounted price.
  • With Motiva having a low rupture rate and no cases of associated cancers, analysts value ESTA at approximately $100 a share on a DCF basis, making it a compelling investment opportunity for potential growth.

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.

Certara Inc.: Initiation Of Coverage – A Diverse Product Portfolio & Interesting AI Initiatives! – Major Drivers

By Baptista Research

  • This is our first report on Certara, a renowned biosimulation player.
  • The company recently released its Fourth Quarter 2023 Earnings.
  • In terms of performance, the company reported revenue growth of 6% for the year, in line with their guidance from August 2023.

Cencora Inc.: These Are The 3 Biggest Challenges In Its Path For Growth! – Key Drivers

By Baptista Research

  • Cencora announced during its First Quarter 2024 Earnings, a year-over-year increase in revenue of 15% to over $72 billion, with adjusted earnings per share also increasing year-over-year by 21%.
  • Recognizing the strong first quarter performance, the company has raised its full-year guidance for fiscal 2024.
  • The company’s performance was fueled by the execution of commercial partnerships and strategic positioning, with teams prioritizing customer-centricity and enhancing service provision.

4Q Follow-Up -D. Western Therapeutics Institute (DWTI) | 4576

By Sessa Investment Research

  • Major milestones with high expectations coming in the next 2-3 years: 1) Phase IIb US trials for H-1337 as “first choice as a second-line Glaucoma drug” for patients who do not respond to PGs
  •  2) 2024 application/approval and 2025 launch of DW- 1002 in Japan, 2023 application and 2024 approval/launch in China, as well as orphan drug designation for combination formula MembraneBlue-DualⓇ (DW-1002 + trypan blue) in the US
  • 3) in Japan, start P2 clinical trials in 2024, P3 trials in late 2025 though 2026, and normal schedule application for approval for regenerative cell-therapy DWR-2206 in 2027

Monash Ivf (MVF AU): Secular Industry Tailwinds+ Strong Market Positioning= Multi-Year Growth

By Tina Banerjee

  • Monash Ivf (MVF AU) delivered a strong result in H1FY24, with revenue growth of 22% YoY to A$126M and underlying NPAT growth of 19% YoY to A$15M.
  • The company has guided for FY24 underlying NPAT of A$29–30M compared to A$25.5M in the prior comparative period (excluding contribution from the Fertility North acquisition).
  • Secular industry tailwinds, consistent market share gain, and strong new patient registrations provide a sustainable growth trajectory for Monash IVF.  

SIGA Technologies – Onwards and upwards with strong FY23

By Edison Investment Research

SIGA Technologies has delivered its best top-line performance in the last five years, supported by a late surge in TPOXX deliveries across both domestic and international markets. FY23 product revenues grew 50.8% to $130.7m, driven by Q423 BARDA deliveries and international orders, resulting in overall revenues increasing to $139.9m (+26.3% y-o-y). Barring packaging-related bottlenecks, which delayed some deliveries to Q124, there could have been incremental upside to meet our $172.6m revenue estimate. The strong cash flow generation and healthy balance sheet (year-end net cash balance of $150.1m) was reflected in the company’s declaration of a special cash dividend of $0.6/share ($42.7m total; >60% payout ratio). Given sales visibility on further BARDA stockpile replenishments and increasing international market traction, we expect FY24 to be another strong year. We revise our FY24 estimates and now expect PEP and pediatric launches in 2026 (2025 previously), resulting in our valuation adjusting to $16.51/share (versus $17.24/share previously).

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Mar 18
0

Daily Brief Singapore: Frasers Logistics & Commercial Trust, Intraco Ltd and more

By | Daily Briefs, Singapore

In today’s briefing:

  • REIT Watch – S-Reits continue to expand through DPU-accretive acquisitions
  • Raffles Medical executive chair continues acquisitions, CDL leads buyback consideration

REIT Watch – S-Reits continue to expand through DPU-accretive acquisitions

By Geoff Howie

  • REIT Watch – S-Reits continue to expand through DPU-accretive acquisitions Nevertheless, S-Reits are still expanding their portfolios as we see Reit managers announce proposed acquisitions and developments in the year thus far.
  • MLT announced the proposed acquisitions of three logistics properties – one in Malaysia and two in Vietnam – for a total acquisition cost of about S$234 million.

Raffles Medical executive chair continues acquisitions, CDL leads buyback consideration

By Geoff Howie

  • Raffles Medical executive chair continues acquisitions, CDL leads buyback consideration Institutions were net sellers of Singapore stocks over the five trading sessions through to Mar 14, with S$156 million of net institutional outflow, as 24 primary-listed companies conducted buybacks with a total consideration of S$35.3 million, up from the S$24.4 million in buyback consideration for the preceding five sessions.
  • Between Mar 7 and 13, Raffles Medical Group executive chairman Loo Choon Yong acquired 2.7 million shares at an average price of S$1.02 per share.

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Mar 18
0

Daily Brief United States: SPDR Gold Shares, Ziff Davis, Hershey Co/The, Alarm.Com Holdings, Crixus BH3 Acquisition , Vishay Intertechnology, Formfactor Inc, Belden Inc, Viasat Inc, Credo Technology Group Holding and more

By | Daily Briefs, United States

In today’s briefing:

  • The Stealth Breakout You May Have Missed
  • Ziff Davis Inc.: Initiation Of Coverage – Huge Potential for Incremental Licensing Revenue Through AI! – Major Drivers
  • Hershey Co (HSY) – Sunday, Dec 17, 2023
  • Alarm.com Holdings Inc.: Initiation Of Coverage – 4 Pivotal Factors That Are Shaping Its Growth Journey! – Financial Forecasts
  • Future Fuel Forward
  • Vishay Intertechnology Inc.: Initiation Of Coverage – Is The Strategic M&A Enough To Broaden Portfolio & Strengthen Its Position In Crucial Markets? – Major Drivers
  • FormFactor Inc.: Initiation Of Coverage – These Are The 4 Biggest Growth Catalysts For The Company! – Financial Forecasts
  • Belden Inc.: Initiation Of Coverage – These Are The 3 Biggest Challenges In Its Path For Success! – Major Drivers
  • Viasat Inc.: Initiation Of Coverage – Potential for Non-Terrestrial Network (NTN) Direct-to-Device Service & 3 Major Drivers
  • Credo Technology Group: Initiation Of Coverage – How Are They Adapting To The Artificial Intelligence (AI)-Triggered Market Shift? – Major Drivers

The Stealth Breakout You May Have Missed

By Cam Hui

  • Gold prices have staged a convincing long-term upside breakout against a backdrop of skepticism, which is contrarian bullish.
  • Point and figure charts indicate a measured objective of 2576 over a probable 6–18-month time horizon and a measured objective of 3372 over a probable 3–5-year time frame.
  • Gold mining stocks are cheap relative to gold and could offer even more upside potential on an intermediate- and long-term basis.

Ziff Davis Inc.: Initiation Of Coverage – Huge Potential for Incremental Licensing Revenue Through AI! – Major Drivers

By Baptista Research

  • This is our first report on internet information and services provider, Ziff Davis.
  • The company has projected an optimistic growth outlook for 2024 as it reported a solid fourth quarter performance for the fiscal year of 2023.
  • The company’s CEO, Vivek Shah expressed his confidence over the company’s business set up for notable growth in 2024 provided the depreciation 1.4% over the last two years.

Hershey Co (HSY) – Sunday, Dec 17, 2023

By Value Investors Club

  • Hershey stock trading at 52-week low, making it attractive investment opportunity
  • Drop in 10-year treasury yield making dividend-paying companies like Hershey more appealing to investors
  • Challenges from new weight loss drugs affecting consumer appetite, but temporary dip creating discounted buying opportunity for strong brand

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.

Alarm.com Holdings Inc.: Initiation Of Coverage – 4 Pivotal Factors That Are Shaping Its Growth Journey! – Financial Forecasts

By Baptista Research

  • This is our first report on cloud-based solutions provider, Alarm.com.
  • The company posted robust fourth quarter and full-year results for 2023 that surpassed expectations.
  • The company’s software-as-a-service (SaaS) and license revenue reached $148.3 million in Q4, reflecting a 10.3% increase compared to the previous year.

Future Fuel Forward

By subSPAC

  • SPAC Activity returned to full pace in the past week, with several deals being announced, including with a Sustainable Fuels Maker and a Gold Producer from South Africa.
  • Also, Trump tried to sell his stake in his social media company to Elon Musk as his SPAC deal stalled, and Fisker could be the latest EV De-SPAC to run out of cash. Read on to find out the latest about all things SPACs. 

  • Sustainable Aviation Fuel (SAF) and clean biofuels producer XCF Global Capital is merging with SPAC BH3 Acquisition, in a deal valuing the combined company at $1.84 billion. 

Vishay Intertechnology Inc.: Initiation Of Coverage – Is The Strategic M&A Enough To Broaden Portfolio & Strengthen Its Position In Crucial Markets? – Major Drivers

By Baptista Research

  • This is our first report on Vishay Intertechnology, a renowned manufacturer of semiconductors and electronic components.
  • In the last quarter, the company disclosed revenues of $785.2 million, within the guidance range of $770 million to $810 million.
  • Notably, the lower industry demand was led by higher levels of finished goods inventories.

FormFactor Inc.: Initiation Of Coverage – These Are The 4 Biggest Growth Catalysts For The Company! – Financial Forecasts

By Baptista Research

  • This is our first report on FormFactor Inc., a leader in the semiconductor industry known for providing necessary equipment for the testing and measurement of chips before they hit the market.
  • The company recently reported their fourth quarter 2023 earnings.
  • FormFactor has achieved a consistent performance throughout the past year with CEO, Mike Slessor, confirming top-line results to be steady across the four quarters.

Belden Inc.: Initiation Of Coverage – These Are The 3 Biggest Challenges In Its Path For Success! – Major Drivers

By Baptista Research

  • This is our first report on Belden, a networking, connectivity, and cable products player.
  • The company experienced high revenue and EPS in Q4 2023, both exceeding previous guidance.
  • The solutions transformation has been cited as driving incremental demand and margin expansion.

Viasat Inc.: Initiation Of Coverage – Potential for Non-Terrestrial Network (NTN) Direct-to-Device Service & 3 Major Drivers

By Baptista Research

  • This is our first report on broadband and communications provider, Viasat Inc.
  • The company’s financial results for Q3 FY24 in the conference call were highlighted by strong revenue and adjusted EBITDA growth.
  • The company reported a year-over-year revenue increase of 73%, reaching $1.1 billion.

Credo Technology Group: Initiation Of Coverage – How Are They Adapting To The Artificial Intelligence (AI)-Triggered Market Shift? – Major Drivers

By Baptista Research

  • This is our first report on high-speed connectivity solutions provider, Credo.
  • The company reported Q3 FY24 earnings, with revenue at $53.1 million and non-GAAP gross margin at 62.2%.
  • Credo’s results and future growth expectations are being fueled by the growing market for high-speed, energy-efficient connectivity solutions in data infrastructure.

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Mar 18
0

Daily Brief India: ITC Ltd, Ceigall India and more

By | Daily Briefs, India

In today’s briefing:

  • ECM Weekly (18th Mar 2024) – ITC, Interglobe (Indigo), MS&AD, GlobalWafer, Belle, Auntea, Trial
  • Ceigall India Pre-IPO Tearsheet

ECM Weekly (18th Mar 2024) – ITC, Interglobe (Indigo), MS&AD, GlobalWafer, Belle, Auntea, Trial

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, Hong Kong appears to be heading towards its first US$100m+ IPO for the year.
  • For placements, after a flurry of placements in the prior week, past week was relatively quiet with only the US$2bn ITC Ltd (ITC IN) block.

Ceigall India Pre-IPO Tearsheet

By Ethan Aw

  • Ceigall India (1605242D IN) is looking to raise at least US$100m in its upcoming India IPO. The deal will be run by IIFL Securities, JM Financial and ICICI Securities.
  • Ceigall India is an infrastructure construction company with experience in undertaking specialized structural work such as elevated roads, flyovers, bridges, railway over bridges, tunnels, highways, expressways and runways. 
  • Its principal business operations are broadly divided into EPC and hybrid annuity model (HAM) projects, which are spread across ten states in India.

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Mar 18
0

Daily Brief China: Shenyang Xingqi Pharmaceutical, Tcl Multimedia Technology, Great Wall Motor, AviChina Industry & Technology H and more

By | China, Daily Briefs

In today’s briefing:

  • China Healthcare Weekly (Mar.15)- New Policy of Innovative Drug, TCM Formula Granules, Xingqi Pharma
  • TCL Electronics (1070.HK) – a Rising Star in the TV Business
  • China Consumption Weekly (18 Mar 2024): Great Wall, KE, Tuniu, Tuhu Car, Boss Zhipin, Weibo
  • AviChina Industry (2357 HK): Better Look Forward

China Healthcare Weekly (Mar.15)- New Policy of Innovative Drug, TCM Formula Granules, Xingqi Pharma

By Xinyao (Criss) Wang

  • A document titled “Soliciting Opinions on the Implementation Plan for Supporting the Development of Innovative Drugs throughout the Whole Chain” would completely change the outlook/investment logic of China’s innovative drugs.
  • We predict that due to the early opening of TCM formula granules VBP in some provinces and intensifying competition, the market pattern of TCM formula granules would face reshaping.
  • After the atropine eye drops is approved by the NMPA, Xingqi’s performance growth will accelerate. Supported by favorable policies, its market value is expected to reach above RMB30 billion.

TCL Electronics (1070.HK) – a Rising Star in the TV Business

By Pyramids and Pagodas

  • TCL Electronics Limited (1070.HK ) (“TCL”), with a market cap of HKD 7.57 billion (USD 968 million), is not your ordinary Chinese TV manufacturer.
  • TCL focuses on mid-to-high end audio/video products like miniLED, QLED, Android, and smart TVs, ranking second in the global TV market behind Samsung.
  • The Company also produces air conditioners, refrigerators, smartphones, tablets, and smart home devices. A recent catch-up with the IR team at TCL’s Shenzhen Industrial Park Headquarters intrigued us and we decided to dig a bit deeper.

China Consumption Weekly (18 Mar 2024): Great Wall, KE, Tuniu, Tuhu Car, Boss Zhipin, Weibo

By Ming Lu

  • Great Wall Motor denied that many employees have resigned recently, but there many complaints from employees on social media.
  • Many small companies grew strongly, such as Tuniu up by 140% and Kanzhun up by 46%.
  • Weibo’s advertising revenue decreased, while most companies’ ad revenues have recovered.

AviChina Industry (2357 HK): Better Look Forward

By Osbert Tang, CFA

  • AviChina Industry & Technology H (2357 HK)‘s FY23 earnings growth of 5.5% is affected by dilution and restatement. Its A-share subsidiaries achieved a 24% aggregate earnings growth. 
  • Gross margin expanded and outlook remains decent. Projected growth for these A-shares reached 36.6% in FY24F and 23.8% in FY25F. Net cash equals 40% of the share price.
  • The stock’s 8.5x and 7.3x PERs for FY24F and FY25F are cheap relative to its peers. It also trades at 57% discount to its A-share holdings.

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Mar 18
0

Daily Brief Japan: Fast Retailing, Roland DG Corp, Aida Engineering, TSE Tokyo Price Index TOPIX and more

By | Daily Briefs, Japan

In today’s briefing:

  • Fast Retailing (9983) – Now At Double Downweight Levels
  • Merger Arb Mondays (18 Mar) – Roland DG, JSR, YSK, CIMC Vehicles, Alumina, QV Equities, Qantm
  • Aida Engineering (6118) Buyback – Not Big Enough, But Not Small; They Gotta Shrink E.
  • In the Prime Market, Disclosure in English Also Widens the Gap in the Company’s Attitude

Fast Retailing (9983) – Now At Double Downweight Levels

By Travis Lundy

  • Fast Retailing (9983 JP) is the largest weight in the Nikkei 225. On Friday, it closed at 11.36% of the Nikkei 225, putting it well above the 10% cap level.
  • If the stock is above 10% on a pro-forma basis on the base date of 31 July 2024, it will get a capping coefficient. 2.8mm shares (US$2.5bn) to sell.
  • At Friday’s close, we were borderline above a double-downweight trigger. At Monday’s open, just below. 30mins later? Back well above. Lots of interesting issues and nuances here for a short.

Merger Arb Mondays (18 Mar) – Roland DG, JSR, YSK, CIMC Vehicles, Alumina, QV Equities, Qantm

By Arun George

Aida Engineering (6118) Buyback – Not Big Enough, But Not Small; They Gotta Shrink E.

By Travis Lundy

  • Late last week, machine tool and press maker Aida Engineering (6118 JP) made an announcement of a share buyback. Up to 2.3mm shs (3.59%) spending up to ¥2bn.
  • The company has filed a policy for “Action to Implement Management That is Conscious of Cost of Capital and Stock Price” in its most recent CorpGov report available (J/E) here. 
  • It will be a little smaller than that, but it is worth taking a closer look at the details, etc.

In the Prime Market, Disclosure in English Also Widens the Gap in the Company’s Attitude

By Aki Matsumoto

  • Most companies with large market capitalization (i.e., those with a high ratio of foreign shareholders) already disclose their financial statements, timely disclosure materials, and convocation notices in English.
  • Disclosure in English of corporate governance reports and annual securities reports, which have lagged behind, is gradually increasing among companies with large market capitalization.
  • Similar to the results of the recent disclosure regarding the ”TSE’s request”, there is also a difference in the disclosure stance between companies with large market capitalization and other companies.

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Mar 18
0

Daily Brief Quantitative Analysis: KRX Foreign Holding Weekly (Mar 15th): Hyundai Motor and more

By | Daily Briefs, Quantitative Analysis

In today’s briefing:

  • KRX Foreign Holding Weekly (Mar 15th): Hyundai Motor, Naver, Celltrion
  • TWSE Foreign Holding Weekly (Mar 15th): Hon Hai, Quanta Computer, Qisda, Wiwynn, Ctbc Financial

KRX Foreign Holding Weekly (Mar 15th): Hyundai Motor, Naver, Celltrion

By Ke Yan, CFA, FRM

  • We analyzed the changes in foreign holdings of KRX Stocks as of Mar 15th which has an aggregated holding worth USD526.1bn.
  • We estimate that foreign flows to be inflows of USD704mln. We tabulate the league table for top changes by value for 1W/4W/1Y and top stocks held by foreign institutions.
  • We highlight foreign changes in Hyundai Motor, Naver, Celltrion Inc.

TWSE Foreign Holding Weekly (Mar 15th): Hon Hai, Quanta Computer, Qisda, Wiwynn, Ctbc Financial

By Ke Yan, CFA, FRM

  • We analyzed the changes in foreign holdings of TWSE Stocks as of Mar 15th which has an aggregated holding worth USD3,904.8bn.
  • We estimate that foreign flows to be outflows of USD91mln. We tabulate the league table for top changes by value for 1W/4W/1Y and top stocks held by foreign instutions.
  • We highlight foreign changes in Hon Hai, Quanta Computer, Qisda, Wiwynn, Ctbc Financial, TSMC, Evergreen Marine, Alchip Tech, Lite-On Tech, Novatek.

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Mar 18
0

Daily Brief Technical Analysis: The Stealth Breakout You May Have Missed and more

By | Daily Briefs, Technical Analysis

In today’s briefing:

  • The Stealth Breakout You May Have Missed

The Stealth Breakout You May Have Missed

By Cam Hui

  • Gold prices have staged a convincing long-term upside breakout against a backdrop of skepticism, which is contrarian bullish.
  • Point and figure charts indicate a measured objective of 2576 over a probable 6–18-month time horizon and a measured objective of 3372 over a probable 3–5-year time frame.
  • Gold mining stocks are cheap relative to gold and could offer even more upside potential on an intermediate- and long-term basis.

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Mar 18
0

Daily Brief ESG: In the Prime Market and more

By | Daily Briefs, ESG

In today’s briefing:

  • In the Prime Market, Disclosure in English Also Widens the Gap in the Company’s Attitude

In the Prime Market, Disclosure in English Also Widens the Gap in the Company’s Attitude

By Aki Matsumoto

  • Most companies with large market capitalization (i.e., those with a high ratio of foreign shareholders) already disclose their financial statements, timely disclosure materials, and convocation notices in English.
  • Disclosure in English of corporate governance reports and annual securities reports, which have lagged behind, is gradually increasing among companies with large market capitalization.
  • Similar to the results of the recent disclosure regarding the ”TSE’s request”, there is also a difference in the disclosure stance between companies with large market capitalization and other companies.

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