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Smartkarma Daily Briefs

Jan 28
0

Daily Brief Industrials: Fsp Technology, Korean Air Lines, Armstrong World Industries, Huntington Ingalls Industries and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Asian Dividend Gems: FSP Technology
  • Korean Air – Another US Example Of A Ruling Against Consolidation Raises Asiana Merger Questions
  • Armstrong World Industries: Initiation of Coverage – Resilience Revolution! How Their Unique Market Positioning Is Driving Exceptional Growth! – Major Drivers
  • Huntington Ingalls Industries: Initiation of Coverage – Why They’re Boosting Revenue Forecasts – Insights into a Booming Business! – Major Drivers

Asian Dividend Gems: FSP Technology

By Douglas Kim

  • While the world is trying to transition to more renewable energies, FSP Technology (Taiwan) could be a beneficiary of reliable power energy supply products. 
  • FSP Technology’s dividend yield averaged 8.1% from 2020 to 2022. The company has a strong balance sheet. Net cash as a percentage of market cap is 40%.
  • FSP Technology provides power supply products used for personal computers, industrial power, renewable energy, and batteries. We used Smartkarma’s Smart Score Screener system to find Fsp Technology (3015 TT). 

Korean Air – Another US Example Of A Ruling Against Consolidation Raises Asiana Merger Questions

By Neil Glynn

  • The US Department of Transport (DOT) has ordered the termination of Delta and Aeromexico’s joint venture from October 2024 due to access restrictions in Mexico City.
  • This follows the (unrelated) US blocking of JetBlue’s planned acquisition of Spirit Airlines on the grounds that it would negatively impact consumers.
  • Each case is different, but the US has previously voiced concerns regarding Korean Air’s planned merger with Asiana, and the bar continues to rise for M&A/JV approval globally.

Armstrong World Industries: Initiation of Coverage – Resilience Revolution! How Their Unique Market Positioning Is Driving Exceptional Growth! – Major Drivers

By Baptista Research

  • This is our first report on ceiling systems producer, Armstrong World Industries.
  • The company’s last results present an investment perspective characterized by robust sales and growth despite compromised market conditions.
  • Moreover, Armstrong World Industries pleasantly surpassed expectations as it did not witness any further deterioration of market activity.

Huntington Ingalls Industries: Initiation of Coverage – Why They’re Boosting Revenue Forecasts – Insights into a Booming Business! – Major Drivers

By Baptista Research

  • This is our first report on militiry ships design player, Huntington Ingalls Industries.
  • The company’s Q3 2023 earnings conference call revealed solid overall growth for the company.
  • According to President and CEO, Chris Kastner, the company reached record Q3 revenue, with top-line growth of 7.2% year-on-year to $2.8 billion.

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Jan 28
0

Daily Brief Financials: China Merchants Bank A, Upstart Holdings , Korea Stock Exchange KOSPI 200, USD and more

By | Daily Briefs, Financials

In today’s briefing:

  • Mainland Connect NORTHBOUND Flows (To 26 Jan 2024): Decent Net Buying, Buying Banks and SOEs
  • Upstart Holdings: Initiation of Coverage – Inside Look at Upstart’s Plan to Secure Game-Changing Partnerships and Fuel Growth! – Major Drivers
  • EQD | The KOSPI 200 Could Go Lower
  • US Rates: The Calm Before The (Policy) Storm

Mainland Connect NORTHBOUND Flows (To 26 Jan 2024): Decent Net Buying, Buying Banks and SOEs

By Travis Lundy

  • 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 12.1bn of A-shares on very strong average activity. National Team continued to buy this week. Foreigners bought banks
  • Renewables were again a net sell by NORTHBOUND. It is not clear what stops persistent net selling. Capacity huge/growing and Pricing is a disaster in solar modules, batteries, etc. 

Upstart Holdings: Initiation of Coverage – Inside Look at Upstart’s Plan to Secure Game-Changing Partnerships and Fuel Growth! – Major Drivers

By Baptista Research

  • This is our first report on cloud- based artificial intelligence (AI) lending platform operator, Upstart Holdings, Inc.
  • Its recent results reveal a diverse picture as substantial growth and progress are achieved in the midst of a challenging lending environment.
  • The positives are the company’s rapid strides in advancing its artificial intelligence lending platform, achievement as a financially sound company, growth in fee revenue, increase in team size, and AI platform expansion.

EQD | The KOSPI 200 Could Go Lower

By Nico Rosti

  • The KOSPI 200 INDEX closed the last week up, after 3 weeks down in a row (CC=-3).
  • The index could pullback again this week, after last week’s bounce, support is around 332-325 or, if the market goes lower, around the 313 price area.
  • Most likely the pullback will last only for 1-2 weeks (if any), but caution is advised: a longer pullback that could reach below 313 is not impossible.

US Rates: The Calm Before The (Policy) Storm

By At Any Rate

  • The combination of policy decisions in the US rates markets has led to a significant decline in tenure yields.
  • There appears to be policy coordination between fiscal and monetary authorities, with the treasury displaying flexibility and the Fed focusing on tightening in financial conditions.
  • The upcoming Fed meeting is anticipated to provide forward guidance on policy tightening, with expectations of a move towards a neutral bias and steps towards eventual easing or cutting. Inflation language in the statement may also be up for debate.

This podcast is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only.

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Jan 28
0

Daily Brief Utilities: Southwest Gas and more

By | Daily Briefs, Utilities Sector

In today’s briefing:

  • Southwest Gas: Initiation of Coverage – How This Energy Titan Is Capturing 5-7% Annual Growth Amidst the Energy Transition! – Major Drivers

Southwest Gas: Initiation of Coverage – How This Energy Titan Is Capturing 5-7% Annual Growth Amidst the Energy Transition! – Major Drivers

By Baptista Research

  • This is our first report on natural gas transporter, Southwest Gas Holdings.
  • The company’s underlying strategy is geared towards restoring the firm to its position as a premier fully regulated natural gas utility.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

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Jan 28
0

Daily Brief Health Care: Beijing Tiantan Biological Products, Samsung Biologics , Mirati Therapeutics and more

By | Daily Briefs, Healthcare

In today’s briefing:

  • China Healthcare Weekly (Jan.26)- Stocks Best Buying Point, Tragic PD-L1, Tiantan Biological Product
  • Samsung Biologics (207940 KS): Stellar Performance in 4Q23; Outlook Remains Strong
  • Mirati Therapeutics: Initiation of Coverage – Inside the Strategy Poised to Skyrocket KRAZATI’s Market Share in 2023! – Major Drivers

China Healthcare Weekly (Jan.26)- Stocks Best Buying Point, Tragic PD-L1, Tiantan Biological Product

By Xinyao (Criss) Wang

  • Even good enterprises could be neglected by the market, leading to low valuation. Many people wonder when is the best buying point for pharmaceutical companies. We shared our views.
  • If PD-1 sold in China can still achieve a certain scale, the situation of PD-L1 is not the same. In fact, we’re pessimistic about all companies selling PD-L1 in China.
  • Beijing Tiantan Biological Products (600161 CH) is a good defensive target in unfriendly external environment. The reasonable market value is RMB45-50 billion. We think Tiantan will maintain stable growth ahead.

Samsung Biologics (207940 KS): Stellar Performance in 4Q23; Outlook Remains Strong

By Tina Banerjee

  • Samsung Biologics (207940 KS) reported 11% YoY growth in revenue to KRW1.07 trillion in 4Q23 driven by the ramp-up of operation of its Plant 4 and robust sales backlog.
  • The company closed 2023 with record high revenue and operating profit, bucking the weakening trend in overall global CDMO sector.
  • The outlook remains strong, with resilient business performance expected to drive a 10–15% annual growth in revenue for 2024.

Mirati Therapeutics: Initiation of Coverage – Inside the Strategy Poised to Skyrocket KRAZATI’s Market Share in 2023! – Major Drivers

By Baptista Research

  • This is our first report on Mirati Therapeutics Inc., a pharmaceutical firm specializing in cancer treatment.
  • The company has shown significant potential with a robust pipeline and innovative programs targeting areas of cancer with large unmet needs.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

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Jan 28
0

Daily Brief Energy/Materials: JSR Corp, Sanghi Industries, Commercial Metals Co, Plains All American Pipeline, L.P., Western Midstream Partners LP and more

By | Daily Briefs, Energy & Materials Sector

In today’s briefing:

  • JSR Corporation (4185 JP): Risk/Reward in Context of Shin-Etsu’s Re-Rating and Looming Tender Start
  • Adani’s Ambuja Cement Acquisition of Sanghi Cement Raises Questions Amidst Favorable Terms
  • Commercial Metals Company: Initiation of Coverage – What Is Their Biggest Competitive Advantage? – Major Drivers
  • Last Week in Event SPACE: T&K TOKA, Liquidated HK Stocks, JSR, Orecorp, Brilliance Auto, Hollysys
  • Plains All American Pipeline: Initiation of Coverage – The Strategy Behind Their Unstoppable Growth in Crude and NGL Sectors! – Major Drivers
  • Western Midstream Partners: Initiation of Coverage – The $885 Million Meritage Takeover – How It’s Revolutionizing Wyoming’s Energy Landscape! – Major Drivers

JSR Corporation (4185 JP): Risk/Reward in Context of Shin-Etsu’s Re-Rating and Looming Tender Start

By Arun George

  • JSR Corp (4185 JP) pre-conditional tender offer from JIC is JPY4,350 per share. Since the deal announcement, the gross spread has averaged 7.7%.
  • The wide gross spread reflects the risk in satisfying the pre-condition related to China SAMR approval and potentially shareholder approval due to Shin Etsu Chemical (4063 JP)’s re-rating.
  • SAMR conditional approval would fit with the late February tender start timeline (at the earliest). Despite Shin-Etsu’s re-rating, the offer still looks reasonable.

Adani’s Ambuja Cement Acquisition of Sanghi Cement Raises Questions Amidst Favorable Terms

By Nimish Maheshwari

  • Adani’s $600 million acquisition of Sanghi Cement in August 2023 marked its significant debut in the cement sector, following controversies around the group’s infrastructure ventures.
  • The Master Supply Agreement with Ambuja & pricing structure, based on cost plus a 10% markup, has raised concerns about lower EBITDA realizations for Sanghi Cement, deviating from industry norms.
  • Issues surrounding potential profit loss (Rs 357 crore) and investor skepticism echo previous instances, like the NDTV case, where minority shareholders experienced less favorable terms compared to the promoter. 

Commercial Metals Company: Initiation of Coverage – What Is Their Biggest Competitive Advantage? – Major Drivers

By Baptista Research

  • This is our first report on steel and metal products manufacturer, Commercial Metals Company.
  • The company reported net earnings of $176.3 million or $1.49 per diluted share on net sales of $2 billion.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Last Week in Event SPACE: T&K TOKA, Liquidated HK Stocks, JSR, Orecorp, Brilliance Auto, Hollysys

By David Blennerhassett

  • We expected a blandiloquent but bletcherous bump for T&K Toka Co Ltd (4636 JP).  We got bletcherous.
  • With the Hang Seng Index dipping below the 15,000 mark earlier this week, time to dust off some old school perspective with Benjamin Graham’s Net Nets.
  • JIC CEO Yokoo reckons the JSR Corp (4185 JP) deal to be done by March-end. Language is vague. If that means to start by then, that’s still 30% annualised.

Plains All American Pipeline: Initiation of Coverage – The Strategy Behind Their Unstoppable Growth in Crude and NGL Sectors! – Major Drivers

By Baptista Research

  • This is our first report on oil and gas storage and transporation player, Plains All American.
  • This represents an increase of $50 million to $100 million from their previous guidance range’s top limit.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Western Midstream Partners: Initiation of Coverage – The $885 Million Meritage Takeover – How It’s Revolutionizing Wyoming’s Energy Landscape! – Major Drivers

By Baptista Research

  • This is our first report on midstream assets developer, Western Midstream Partners (WES).
  • The company has shown improvements in both adjusted gross margin and adjusted EBITDA due to increased throughput from all their operated assets and across all products.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

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Jan 28
0

Daily Brief ESG: TSE Policy Seems to Be that Disclosure in English Is Left to the Companies’ Own Initiative and more

By | Daily Briefs, ESG

In today’s briefing:

  • TSE Policy Seems to Be that Disclosure in English Is Left to the Companies’ Own Initiative

TSE Policy Seems to Be that Disclosure in English Is Left to the Companies’ Own Initiative

By Aki Matsumoto

  • It will be useful for investors if timely disclosure information, which has large market impact but is still disclosed in English by half of companies, is disclosed in English simultaneously.
  • By limiting the TSE policy to documents that are already disclosed in English by many companies, there is concern that other high-demand documents may not be disclosed in English.
  • An analysis of English disclosure status and value creation indicators shows that many companies, even those with high profitability and high stock valuation, are not ready for disclosure in English.

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Jan 28
0

Daily Brief China: China Merchants Bank A, Beijing Tiantan Biological Products, China Tourism Group Duty Free Corp Ltd and more

By | China, Daily Briefs

In today’s briefing:

  • Mainland Connect NORTHBOUND Flows (To 26 Jan 2024): Decent Net Buying, Buying Banks and SOEs
  • China Healthcare Weekly (Jan.26)- Stocks Best Buying Point, Tragic PD-L1, Tiantan Biological Product
  • LVMH & Richemont Said Chinese Demand for Luxury Goods Is Strong; POSITIVE for China Tourism Group

Mainland Connect NORTHBOUND Flows (To 26 Jan 2024): Decent Net Buying, Buying Banks and SOEs

By Travis Lundy

  • 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 12.1bn of A-shares on very strong average activity. National Team continued to buy this week. Foreigners bought banks
  • Renewables were again a net sell by NORTHBOUND. It is not clear what stops persistent net selling. Capacity huge/growing and Pricing is a disaster in solar modules, batteries, etc. 

China Healthcare Weekly (Jan.26)- Stocks Best Buying Point, Tragic PD-L1, Tiantan Biological Product

By Xinyao (Criss) Wang

  • Even good enterprises could be neglected by the market, leading to low valuation. Many people wonder when is the best buying point for pharmaceutical companies. We shared our views.
  • If PD-1 sold in China can still achieve a certain scale, the situation of PD-L1 is not the same. In fact, we’re pessimistic about all companies selling PD-L1 in China.
  • Beijing Tiantan Biological Products (600161 CH) is a good defensive target in unfriendly external environment. The reasonable market value is RMB45-50 billion. We think Tiantan will maintain stable growth ahead.

LVMH & Richemont Said Chinese Demand for Luxury Goods Is Strong; POSITIVE for China Tourism Group

By Mohshin Aziz

  • European luxury goods maker enjoyed its best week in the past 52 weeks, spurred by better-than-expected results by LVMH, the industry leader and widely viewed as the bellwether  
  • China’s market was cited as resilient and very strong in certain categories, defying the general market perception that Chinese demand is soft
  • The key European luxury goods share price has risen by an average of 8.2% YTD, China Tourism Group share price performance has lagged. Good buying opportunity    

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Jan 28
0

Daily Brief United States: Intel Corp, Marriott Vacations World, Yelp Inc, PowerSchool Holdings , Upstart Holdings , Casey’S General Stores, American Eagle Outfitters, Axcelis Technologies, Bausch + Lomb and more

By | Daily Briefs, United States

In today’s briefing:

  • Intel Ruins The Rally With Its Gloomy Guide
  • Marriott Vacations Worldwide: Initiation of Coverage – Global Expansion Explosion! The Secret Behind Their 40% Surge in International Sales! – Major Drivers
  • Yelp Inc: Initiation of Coverage – Unveiling Yelp’s High-ROI Ad Innovations That Are Changing the Game! – Major Drivers
  • PowerSchool Holdings: Initiation of Coverage – Find Out How Their Cutting-Edge AI Is Transforming Public Education! – Major Drivers
  • Upstart Holdings: Initiation of Coverage – Inside Look at Upstart’s Plan to Secure Game-Changing Partnerships and Fuel Growth! – Major Drivers
  • Casey’s General Stores: Initiation of Coverage – Exploding Across New Territories – How Their Bold Expansion is Winning the Market! – Major Drivers
  • Axcelis Technologies Inc.: Initiation of Coverage – The Silicon Carbide Revolution – How They’re Leading the Charge in Power Technology! – Major Drivers
  • American Eagle Outfitters: Initiation of Coverage – Inside the Store Remodels Driving Unprecedented Sales Surges! – Major Drivers
  • Axcelis Technologies Inc.: Initiation of Coverage – The Silicon Carbide Revolution – How They’re Leading the Charge in Power Technology! – Major Drivers
  • Bausch + Lomb Corporation: Initiation of Coverage – The Multi-Million Dollar Growth Secret Behind LUMIFY and More! – Major Drivers

Intel Ruins The Rally With Its Gloomy Guide

By William Keating

  • Q423 revenues of $15.4 billion, +8.5% QoQ, +10% YoY and $300 million above the guided midpoint
  • Q124 guided to $12.7 billion, -17.5% QoQ albeit still up 8% YoY.  
  • Intel’s share priced fell 12% on the guide. CEO says this was an overreaction. 

Marriott Vacations Worldwide: Initiation of Coverage – Global Expansion Explosion! The Secret Behind Their 40% Surge in International Sales! – Major Drivers

By Baptista Research

  • This is our first report on Marriott Vacations Worldwide.
  • On the positive side, contract sales across Europe and Asia Pacific increased by a notable 42% year-over-year proving the company’s strong international growth.
  • Another positive aspect is the successful launch of the Hyatt Vacation Club brand and the new BEYOND program, which increased the number of travel offerings for Hyatt Vacation Club owners.

Yelp Inc: Initiation of Coverage – Unveiling Yelp’s High-ROI Ad Innovations That Are Changing the Game! – Major Drivers

By Baptista Research

  • This is our first report on Yelp Inc.
  • The management addressed strong performance across several key metrics.
  • They reported an impressive 10th consecutive quarter of double-digit revenue growth, achieving a record net revenue of $345 million which signifies a 12% YoY increase.

PowerSchool Holdings: Initiation of Coverage – Find Out How Their Cutting-Edge AI Is Transforming Public Education! – Major Drivers

By Baptista Research

  • This is our first report on PowerSchool Group Inc., an education technology company.
  • The company recorded promising results in its Third Quarter 2023 Earnings.
  • We have added reasonable forecasts of the annualized income statement and cash flows and carried out a DCF valuation of the company using its Weighted Average Cost of Capital (WACC) to determine a forecasted share price.

Upstart Holdings: Initiation of Coverage – Inside Look at Upstart’s Plan to Secure Game-Changing Partnerships and Fuel Growth! – Major Drivers

By Baptista Research

  • This is our first report on cloud- based artificial intelligence (AI) lending platform operator, Upstart Holdings, Inc.
  • Its recent results reveal a diverse picture as substantial growth and progress are achieved in the midst of a challenging lending environment.
  • The positives are the company’s rapid strides in advancing its artificial intelligence lending platform, achievement as a financially sound company, growth in fee revenue, increase in team size, and AI platform expansion.

Casey’s General Stores: Initiation of Coverage – Exploding Across New Territories – How Their Bold Expansion is Winning the Market! – Major Drivers

By Baptista Research

  • This is our first report on Casey’s General Stores.
  • The company’s performance in the previous quarter remains solid as it delivered strong second-quarter results.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Axcelis Technologies Inc.: Initiation of Coverage – The Silicon Carbide Revolution – How They’re Leading the Charge in Power Technology! – Major Drivers

By Baptista Research

  • This is our first report on Axcelis Technologies.
  • As the power market continues to strengthen, Axcelis is guiding for Q4 2023 revenue with a gross margin of approximately 45% and an EPS of around 00.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

American Eagle Outfitters: Initiation of Coverage – Inside the Store Remodels Driving Unprecedented Sales Surges! – Major Drivers

By Baptista Research

  • This is our first report on apparel major, American Eagle Outfitters.
  • In the third quarter of 2023, American Eagle Outfitters achieved record revenue of $1.3 billion, buoyed by both strong in-store performance and a 10% growth in its digital channel.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Axcelis Technologies Inc.: Initiation of Coverage – The Silicon Carbide Revolution – How They’re Leading the Charge in Power Technology! – Major Drivers

By Baptista Research

  • This is our first report on Axcelis Technologies.
  • As the power market continues to strengthen, Axcelis is guiding for Q4 2023 revenue with a gross margin of approximately 45% and an EPS of around 00.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Bausch + Lomb Corporation: Initiation of Coverage – The Multi-Million Dollar Growth Secret Behind LUMIFY and More! – Major Drivers

By Baptista Research

  • This is our first report on eye health major, Bausch + Lomb Corporation.
  • The company’s Q3 2023 Earnings Call reported an 8% increase in revenue, growth attributed to strengths across its well established and emerging brands that cover the whole spectrum of eye health.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

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Jan 28
0

Daily Brief Japan: Shinko Electric Industries, JSR Corp, TSE Tokyo Price Index TOPIX, Renesas Electronics and more

By | Daily Briefs, Japan

In today’s briefing:

  • (Mostly) Asia-Pac Weekly Risk Arb Wrap: Newmark, Payroll, Orecorp, Weiqiao, Mandala Multi, Shinko
  • JSR Corporation (4185 JP): Risk/Reward in Context of Shin-Etsu’s Re-Rating and Looming Tender Start
  • TSE Policy Seems to Be that Disclosure in English Is Left to the Companies’ Own Initiative
  • Index Rebalance & ETF Flow Recap: CSI300, CSI500, SSE50, ChiNext, KOSPI200, Renesas, IDX30/LQ45
  • Last Week in Event SPACE: T&K TOKA, Liquidated HK Stocks, JSR, Orecorp, Brilliance Auto, Hollysys
  • ECM Weekly (28th Jan 2024) – Renesas, FCT, Genda, Amer, Guming, FirstCry, Thai Credit

(Mostly) Asia-Pac Weekly Risk Arb Wrap: Newmark, Payroll, Orecorp, Weiqiao, Mandala Multi, Shinko

By David Blennerhassett

JSR Corporation (4185 JP): Risk/Reward in Context of Shin-Etsu’s Re-Rating and Looming Tender Start

By Arun George

  • JSR Corp (4185 JP) pre-conditional tender offer from JIC is JPY4,350 per share. Since the deal announcement, the gross spread has averaged 7.7%.
  • The wide gross spread reflects the risk in satisfying the pre-condition related to China SAMR approval and potentially shareholder approval due to Shin Etsu Chemical (4063 JP)’s re-rating.
  • SAMR conditional approval would fit with the late February tender start timeline (at the earliest). Despite Shin-Etsu’s re-rating, the offer still looks reasonable.

TSE Policy Seems to Be that Disclosure in English Is Left to the Companies’ Own Initiative

By Aki Matsumoto

  • It will be useful for investors if timely disclosure information, which has large market impact but is still disclosed in English by half of companies, is disclosed in English simultaneously.
  • By limiting the TSE policy to documents that are already disclosed in English by many companies, there is concern that other high-demand documents may not be disclosed in English.
  • An analysis of English disclosure status and value creation indicators shows that many companies, even those with high profitability and high stock valuation, are not ready for disclosure in English.

Index Rebalance & ETF Flow Recap: CSI300, CSI500, SSE50, ChiNext, KOSPI200, Renesas, IDX30/LQ45

By Brian Freitas

  • The review period for the NIFTY family of indices, Nikkei 225, STAR50, the KRX New Deal Index and a global index ends on 31 January.
  • The January rebalance of the IDX30 and LQ45 indices will be implemented at the close of trading on 31 January.
  • There have been huge inflows into the CSI 300 Index ETFs for another week. This will increase the impact on the index changes at the next rebalance.

Last Week in Event SPACE: T&K TOKA, Liquidated HK Stocks, JSR, Orecorp, Brilliance Auto, Hollysys

By David Blennerhassett

  • We expected a blandiloquent but bletcherous bump for T&K Toka Co Ltd (4636 JP).  We got bletcherous.
  • With the Hang Seng Index dipping below the 15,000 mark earlier this week, time to dust off some old school perspective with Benjamin Graham’s Net Nets.
  • JIC CEO Yokoo reckons the JSR Corp (4185 JP) deal to be done by March-end. Language is vague. If that means to start by then, that’s still 30% annualised.

ECM Weekly (28th Jan 2024) – Renesas, FCT, Genda, Amer, Guming, FirstCry, Thai Credit

By Sumeet Singh

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Jan 28
0

Daily Brief South Korea: Korean Air Lines, Samsung Biologics , Korea Stock Exchange KOSPI 200 and more

By | Daily Briefs, South Korea

In today’s briefing:

  • Korean Air – Another US Example Of A Ruling Against Consolidation Raises Asiana Merger Questions
  • Samsung Biologics (207940 KS): Stellar Performance in 4Q23; Outlook Remains Strong
  • EQD | The KOSPI 200 Could Go Lower

Korean Air – Another US Example Of A Ruling Against Consolidation Raises Asiana Merger Questions

By Neil Glynn

  • The US Department of Transport (DOT) has ordered the termination of Delta and Aeromexico’s joint venture from October 2024 due to access restrictions in Mexico City.
  • This follows the (unrelated) US blocking of JetBlue’s planned acquisition of Spirit Airlines on the grounds that it would negatively impact consumers.
  • Each case is different, but the US has previously voiced concerns regarding Korean Air’s planned merger with Asiana, and the bar continues to rise for M&A/JV approval globally.

Samsung Biologics (207940 KS): Stellar Performance in 4Q23; Outlook Remains Strong

By Tina Banerjee

  • Samsung Biologics (207940 KS) reported 11% YoY growth in revenue to KRW1.07 trillion in 4Q23 driven by the ramp-up of operation of its Plant 4 and robust sales backlog.
  • The company closed 2023 with record high revenue and operating profit, bucking the weakening trend in overall global CDMO sector.
  • The outlook remains strong, with resilient business performance expected to drive a 10–15% annual growth in revenue for 2024.

EQD | The KOSPI 200 Could Go Lower

By Nico Rosti

  • The KOSPI 200 INDEX closed the last week up, after 3 weeks down in a row (CC=-3).
  • The index could pullback again this week, after last week’s bounce, support is around 332-325 or, if the market goes lower, around the 313 price area.
  • Most likely the pullback will last only for 1-2 weeks (if any), but caution is advised: a longer pullback that could reach below 313 is not impossible.

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