Industrials

• Tokyo Metro (9023 JP) had a blockbuster listing yesterday, finishing the day 45% higher. That took the estimated div yield down from 3.33% (at the IPO price) to 2.3%.
• One expected index inclusion will not take place due to insufficient information on IPO allocations and that leads to a much lower free float than expected.
• That inclusion will now be deferred to June; BUT there could be two other (bigger) index inclusions on the cards prior to that.

• Afcons Infrastructure Limited (6595396Z IN) is looking to raise around US$650m in its India IPO.
• Afcons Infrastructure Limited (Afcons) is the flagship infrastructure engineering and construction company of the Shapoorji Pallonji group.
• In a previous note, we looked at the firm’s past performance. In this note, we look at the updates since, and discuss valuation.

• In this insight, we take a look at the potential ADDs and DELs for the F100 and F250 indices during the December 2024 index rebal event.
• Separately, we see multiple M&A-related intra-review changes in the next few months.
• There could also be more regular changes during the December 2024 rebalanced event

• Nidec’s Q2 operating income beat my estimates, driven by strong small motors and appliance segments, though automotive profits underperformed
• The automotive division is shifting focus from e-axles to broader auto parts, while improving operational efficiency through partnerships and streamlined logistics
• Despite macro risks, Nidec remains well-positioned for long-term growth in digitalization, decarbonization, and automation, with a price target of ¥4,350

• Together with the just-announced HK$0.40 special DPS, SITC International (1308 HK) has already handed back HK$1.12/share to shareholders YTD, realising a dividend yield of 6.5%.
• Its 3Q24 performance is impressive, with revenue surging 56.6% YoY. Both volume (+13.4%) and average freight rates (+44.1%) have exhibited solid momentum. 
• While the consensus forecasts have been upgraded by 7-11% since the 1H24 result, there appears more room to go. FY24 ROE is now expected to be 32.2%.

• Operating Revenues of P$6.8bn were driven by solid aeronautical growth.
• Total operating sales growth of 14% YoY was driven by a solid 19% YoY gain in aeronautical revenues, mainly explained by higher average tariffs (+22% YoY), which offset the 2% drop in total PAX.
• On the other hand, non-aeronautical revenues (34% of the total) gained 5% YoY, supported by an implicit gain of 7% YoY in the non-aeronautical revenue per PAX.

• Operating revenues of US$813 m decreased by 4% YoY.
• Top-line results were negatively impacted by a 14% YoY contraction in the ASMs (due to mandatory engine inspections, which resulted in the landing on average of 34 airplanes) and a 13% YoY drop in RPMs. Yields in the quarter ended at US$53.0, implying a 9% YoY gain and 7% above our estimate.
• The load factor in 3Q24 was 87.4%, with a +1.0 pp YoY expansion.

• Tokyo Metro (9023 JP) had a blockbuster listing yesterday, finishing the day 45% higher. That took the estimated div yield down from 3.33% (at the IPO price) to 2.3%.
• One expected index inclusion will not take place due to insufficient information on IPO allocations and that leads to a much lower free float than expected.
• That inclusion will now be deferred to June; BUT there could be two other (bigger) index inclusions on the cards prior to that.

• Afcons Infrastructure Limited (6595396Z IN) is looking to raise around US$650m in its India IPO.
• Afcons Infrastructure Limited (Afcons) is the flagship infrastructure engineering and construction company of the Shapoorji Pallonji group.
• In a previous note, we looked at the firm’s past performance. In this note, we look at the updates since, and discuss valuation.

• In this insight, we take a look at the potential ADDs and DELs for the F100 and F250 indices during the December 2024 index rebal event.
• Separately, we see multiple M&A-related intra-review changes in the next few months.
• There could also be more regular changes during the December 2024 rebalanced event

• Nidec’s Q2 operating income beat my estimates, driven by strong small motors and appliance segments, though automotive profits underperformed
• The automotive division is shifting focus from e-axles to broader auto parts, while improving operational efficiency through partnerships and streamlined logistics
• Despite macro risks, Nidec remains well-positioned for long-term growth in digitalization, decarbonization, and automation, with a price target of ¥4,350

• Together with the just-announced HK$0.40 special DPS, SITC International (1308 HK) has already handed back HK$1.12/share to shareholders YTD, realising a dividend yield of 6.5%.
• Its 3Q24 performance is impressive, with revenue surging 56.6% YoY. Both volume (+13.4%) and average freight rates (+44.1%) have exhibited solid momentum. 
• While the consensus forecasts have been upgraded by 7-11% since the 1H24 result, there appears more room to go. FY24 ROE is now expected to be 32.2%.

• Operating Revenues of P$6.8bn were driven by solid aeronautical growth.
• Total operating sales growth of 14% YoY was driven by a solid 19% YoY gain in aeronautical revenues, mainly explained by higher average tariffs (+22% YoY), which offset the 2% drop in total PAX.
• On the other hand, non-aeronautical revenues (34% of the total) gained 5% YoY, supported by an implicit gain of 7% YoY in the non-aeronautical revenue per PAX.

• Operating revenues of US$813 m decreased by 4% YoY.
• Top-line results were negatively impacted by a 14% YoY contraction in the ASMs (due to mandatory engine inspections, which resulted in the landing on average of 34 airplanes) and a 13% YoY drop in RPMs. Yields in the quarter ended at US$53.0, implying a 9% YoY gain and 7% above our estimate.
• The load factor in 3Q24 was 87.4%, with a +1.0 pp YoY expansion.

• Tokyo Metro (9023 JP) priced its IPO at the top end (JPY 1200/share), raised JPY 348.6bn (US$2.3bn) and the company is valued at JPY 697bn (US$4.62bn).
• The stock starts to trade today, and the grey market is indicating an open 20% higher. Not surprising considering that the IPO was heavily oversubscribed.
• Even at a price of JPY 1440/share, the estimated dividend yield is 2.78% and that should keep the stock supported. Index inclusions will result in more buying next week.

• The Tokyo Metro (9023 JP) IPO is one of the largest IPOs of recent years, well-flagged, and it is hot hot hot!  A super stable, well-known, well-respected, service provider.
• There are numerous attractions but I expect people have not thought too deeply about the demand and supply dynamics of different holder types. It’s worth thinking about. 
• This was priced “cheap” but everyone knows that so there may be flippers. This is probably more Japan Post Bank than Japan Post Insurance.

• The T50 index represents the top 50 largest stocks by market capitalization in the Taiwan Stock Exchange (TWSE). The T100 index represents the next 100 largest names (51-150 ranks).
• In this insight, we take a look at the potential ADDs and DELs for the December 2024 index rebal event.
• Currently, we see one change for T50 and two changes for T100 but there are four more weeks to the base date and our expectations can change until then.

• In this insight, we take look at Quiddity’s expectations for index changes and capping flows for the TDIV Index for the December 2024 index rebal event.
• I currently see 5 ADDs and 4 DELs but some of these names are different from what we had last time (link).
• The current estimate for one-way flow in December 2024 is US$1.54bn.

• There could be 16 changes for the Nifty200 Momentum 30 Index that will be implemented at the close on 30 December.
• If all changes are on expected lines, one-way turnover is estimated at 55.6% and that will result in a one-way trade of INR 62bn (US$736m).
• Since June, the potential adds to the index have outperformed the index and the potential deletes by a big margin. Momentum could keep the outperformance going till implementation date.

• Our overall assessment of the new reorganization plan by the Doosan Group continues to be Negative, because Doosan has not given up trying to eventually merge Bobcat and Robotics.
• Doosan Group’s new reorganization plan is the opposite of KISS strategy, involving several moving parts and complicated deal structure.
• We have also provided three main recommendations on how to raise the valuation of Doosan Bobcat without rushing to merge Bobcat and Robotics.

• Neil Chenoweth wrote a detailed investigative piece on Min Res founder Chris Allison and former top executives, alleging a tax evasion scheme using shareholder funds.
• The scheme involved buying machinery with inflated prices from a company named Far East Equipment Holdings in the British Virgin Islands.
• Min Res stock dropped 13% in response to the article, with implications on leadership and governance of the company.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Nextracker’s first-quarter earnings for the fiscal year 2025 have offered a mixed yet promising insight into the company’s financial and operational trajectory.
• The company reported a significant 50% year-on-year growth in revenue and recorded its highest-ever adjusted EBITDA.
• These figures underscore Nextracker’s strong performance, particularly in a financial landscape characterized by a keen focus on renewable energy solutions.

• China Conch Venture Holdings (586 HK) is sitting on a steep discount of 59% to its NAV. Its holding in Anhui Conch Cement (600585 CH) is already valued at HK$13.3/share.
• Its waste-to-energy business has a value of Rmb4.4bn by assuming 5x PER, but this business has a net book value of Rmb10bn. Pipeline capacity equals 21.7% of operational capacity.
• The new energy segment, including lithium battery recycling and the manufacture of positive and negative electrode materials, has solid prospects but is overlooked by the market.

• Ajax Engineering Limited (0896529D IN) is looking to raise about US$100m through its upcoming IPO in India. The lead bookrunners for the deal are ICICI , CITI, JM, Nuvama, SBI 
• Ajax Engineering Limited (AEL) is one of the leading concrete equipment manufacturers with a comprehensive range of concrete equipment, services and solutions across the concrete application value chain. 
• It is one of the top three global SLCM manufacturers, holding about 75% market share in India. In FY24, SLCMs contributed to 12% of India’s concrete production.

• Tokyo Metro (9023 JP) priced its IPO at the top end (JPY 1200/share), raised JPY 348.6bn (US$2.3bn) and the company is valued at JPY 697bn (US$4.62bn).
• The stock starts to trade today, and the grey market is indicating an open 20% higher. Not surprising considering that the IPO was heavily oversubscribed.
• Even at a price of JPY 1440/share, the estimated dividend yield is 2.78% and that should keep the stock supported. Index inclusions will result in more buying next week.

• The Tokyo Metro (9023 JP) IPO is one of the largest IPOs of recent years, well-flagged, and it is hot hot hot!  A super stable, well-known, well-respected, service provider.
• There are numerous attractions but I expect people have not thought too deeply about the demand and supply dynamics of different holder types. It’s worth thinking about. 
• This was priced “cheap” but everyone knows that so there may be flippers. This is probably more Japan Post Bank than Japan Post Insurance.

• The T50 index represents the top 50 largest stocks by market capitalization in the Taiwan Stock Exchange (TWSE). The T100 index represents the next 100 largest names (51-150 ranks).
• In this insight, we take a look at the potential ADDs and DELs for the December 2024 index rebal event.
• Currently, we see one change for T50 and two changes for T100 but there are four more weeks to the base date and our expectations can change until then.

• In this insight, we take look at Quiddity’s expectations for index changes and capping flows for the TDIV Index for the December 2024 index rebal event.
• I currently see 5 ADDs and 4 DELs but some of these names are different from what we had last time (link).
• The current estimate for one-way flow in December 2024 is US$1.54bn.

• There could be 16 changes for the Nifty200 Momentum 30 Index that will be implemented at the close on 30 December.
• If all changes are on expected lines, one-way turnover is estimated at 55.6% and that will result in a one-way trade of INR 62bn (US$736m).
• Since June, the potential adds to the index have outperformed the index and the potential deletes by a big margin. Momentum could keep the outperformance going till implementation date.

• Our overall assessment of the new reorganization plan by the Doosan Group continues to be Negative, because Doosan has not given up trying to eventually merge Bobcat and Robotics.
• Doosan Group’s new reorganization plan is the opposite of KISS strategy, involving several moving parts and complicated deal structure.
• We have also provided three main recommendations on how to raise the valuation of Doosan Bobcat without rushing to merge Bobcat and Robotics.

• Neil Chenoweth wrote a detailed investigative piece on Min Res founder Chris Allison and former top executives, alleging a tax evasion scheme using shareholder funds.
• The scheme involved buying machinery with inflated prices from a company named Far East Equipment Holdings in the British Virgin Islands.
• Min Res stock dropped 13% in response to the article, with implications on leadership and governance of the company.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Nextracker’s first-quarter earnings for the fiscal year 2025 have offered a mixed yet promising insight into the company’s financial and operational trajectory.
• The company reported a significant 50% year-on-year growth in revenue and recorded its highest-ever adjusted EBITDA.
• These figures underscore Nextracker’s strong performance, particularly in a financial landscape characterized by a keen focus on renewable energy solutions.

• China Conch Venture Holdings (586 HK) is sitting on a steep discount of 59% to its NAV. Its holding in Anhui Conch Cement (600585 CH) is already valued at HK$13.3/share.
• Its waste-to-energy business has a value of Rmb4.4bn by assuming 5x PER, but this business has a net book value of Rmb10bn. Pipeline capacity equals 21.7% of operational capacity.
• The new energy segment, including lithium battery recycling and the manufacture of positive and negative electrode materials, has solid prospects but is overlooked by the market.

• Ajax Engineering Limited (0896529D IN) is looking to raise about US$100m through its upcoming IPO in India. The lead bookrunners for the deal are ICICI , CITI, JM, Nuvama, SBI 
• Ajax Engineering Limited (AEL) is one of the leading concrete equipment manufacturers with a comprehensive range of concrete equipment, services and solutions across the concrete application value chain. 
• It is one of the top three global SLCM manufacturers, holding about 75% market share in India. In FY24, SLCMs contributed to 12% of India’s concrete production.

• Tokyo Metro (9023 JP) priced its IPO at JPY1,200 per share to raise gross proceeds of US$2.3 billion. The shares will start trading on 23 October.
• We previously discussed the IPO in Tokyo Metro (9023 JP) IPO: The Bull Case, Tokyo Metro (9023 JP) IPO: The Bear Case and Tokyo Metro (9023 JP) IPO: Valuation Insights.
• The peers have modestly derated since the prospectus was released on 20 September. The IPO price remains attractive, particularly relating to the implied dividend yield.

• The big question is how to cash in on the dissenters’ rights spread for Robotics. The main concern is cancellation risk, but the FSS doesn’t seem too negative on approval.
• To sustain nuclear momentum, Enerbility needs heavy borrowing for facility investments, requiring a lower debt ratio. Offloading debt-heavy Bobcat is a move shareholders might support.
• With NPS unlikely to ignore the government’s nuclear push, Robotics’ spread could narrow quickly. Despite cancellation risk and no hedge, the remaining juice makes an outright position worth considering.

• SF Holding proposes interim & special dividends for owners of A-shares
• Combined cash dividend totals 1.40 CNY per share, yielding about 3.3%
• Meeting October 29 to approve dividends, Q3 results, planned HK listing

• T.S. Lines (TSL HK) is looking to raise at least US$100m in its upcoming Hong Kong IPO.
• T.S. Lines (TSL) is a container shipping firm primarily operating in the Asia Pacific (APAC) region.
• In a previous note, we looked at the firm’s past performance. In this note, we talk about the recent updates from its filings.

• Tokyo Metro (9023 JP)‘s shareholders raised around US$2.4bn in its Japan IPO. 
• Tokyo Metro (TKM) is one of the two metro network operators in the Tokyo region. It operates nine subway lines with a total of 180 stations.
• We have looked at the company’s past performance and valuations in our previous notes. In this note, we will talk about the trading dynamics.

• Danaher has a history of long-term growth, with a 15% increase in stock price over the past 10 years.
• Founded in the 1980s by Steven and Mitchell Rales, Danaher focused on acquiring industrial companies with a private equity strategy.
• Strategic management and operational improvements have allowed Danaher to consistently grow its free cash flow per share at a double-digit rate, making it a solid investment despite its current valuation.

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.

Ocean Wilsons announced today that it has agreed to sell its 56.47% stake in Wilson Sons to SAS Shipping Agencies Services, a wholly owned subsidiary of MSC Mediterranean Shipping Company, for R$4.4bn (equivalent to R$17.50 per share). The consideration will be converted into US dollars, which, at the current exchange rate, implies a purchase price of US$768m. The transaction is expected to trigger a Brazilian withholding tax liability of up to US$142m and to ultimately realise net cash proceeds of ‘at least US$593m’. The transaction is expected to complete in H225. A ‘meaningful’ proportion of the proceeds will be returned to shareholders and some may be reinvested in Ocean Wilsons.

• General Dynamics is a global aerospace and defense firm with a diverse portfolio of businesses and strong market presence
• The company has solid financial performance with $42.3 billion in revenue, $3.3 billion in net income, and a strong balance sheet with $8.2 billion in net debt
• The investment thesis is focused on the strength of Gulfstream business, with a healthy backlog of $21 billion, new product introductions, and a leading position in the business/private jet market, making it a promising investment opportunity.

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.

• RaaS Research Group has published an update report on advanced materials manufacturing group Amaero International (ASX:3DA) following its Q1 result in which it reported first commercial revenues of $1.0m, marking its first quarter of material commercial revenue from its Tennessee operation.
• The revenue includes approximately $0.6m from powder sales and $0.45m from PM HIP manufacturing.
• The powder sales made during the quarter included test material to ADDMAN Group, with which the company has a five-year preferred supplier agreement, as well as custom atomisation of C103 for a NYSE-listed materials company, custom atomisation of C103 for a US government-funded laboratory and custom atomisation of a development refractory alloy for another US government-funded laboratory.

• Tokyo Metro (9023 JP) priced its IPO at JPY1,200 per share to raise gross proceeds of US$2.3 billion. The shares will start trading on 23 October.
• We previously discussed the IPO in Tokyo Metro (9023 JP) IPO: The Bull Case, Tokyo Metro (9023 JP) IPO: The Bear Case and Tokyo Metro (9023 JP) IPO: Valuation Insights.
• The peers have modestly derated since the prospectus was released on 20 September. The IPO price remains attractive, particularly relating to the implied dividend yield.

• The big question is how to cash in on the dissenters’ rights spread for Robotics. The main concern is cancellation risk, but the FSS doesn’t seem too negative on approval.
• To sustain nuclear momentum, Enerbility needs heavy borrowing for facility investments, requiring a lower debt ratio. Offloading debt-heavy Bobcat is a move shareholders might support.
• With NPS unlikely to ignore the government’s nuclear push, Robotics’ spread could narrow quickly. Despite cancellation risk and no hedge, the remaining juice makes an outright position worth considering.

• SF Holding proposes interim & special dividends for owners of A-shares
• Combined cash dividend totals 1.40 CNY per share, yielding about 3.3%
• Meeting October 29 to approve dividends, Q3 results, planned HK listing

• T.S. Lines (TSL HK) is looking to raise at least US$100m in its upcoming Hong Kong IPO.
• T.S. Lines (TSL) is a container shipping firm primarily operating in the Asia Pacific (APAC) region.
• In a previous note, we looked at the firm’s past performance. In this note, we talk about the recent updates from its filings.

• Tokyo Metro (9023 JP)‘s shareholders raised around US$2.4bn in its Japan IPO. 
• Tokyo Metro (TKM) is one of the two metro network operators in the Tokyo region. It operates nine subway lines with a total of 180 stations.
• We have looked at the company’s past performance and valuations in our previous notes. In this note, we will talk about the trading dynamics.

• Danaher has a history of long-term growth, with a 15% increase in stock price over the past 10 years.
• Founded in the 1980s by Steven and Mitchell Rales, Danaher focused on acquiring industrial companies with a private equity strategy.
• Strategic management and operational improvements have allowed Danaher to consistently grow its free cash flow per share at a double-digit rate, making it a solid investment despite its current valuation.

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.

Ocean Wilsons announced today that it has agreed to sell its 56.47% stake in Wilson Sons to SAS Shipping Agencies Services, a wholly owned subsidiary of MSC Mediterranean Shipping Company, for R$4.4bn (equivalent to R$17.50 per share). The consideration will be converted into US dollars, which, at the current exchange rate, implies a purchase price of US$768m. The transaction is expected to trigger a Brazilian withholding tax liability of up to US$142m and to ultimately realise net cash proceeds of ‘at least US$593m’. The transaction is expected to complete in H225. A ‘meaningful’ proportion of the proceeds will be returned to shareholders and some may be reinvested in Ocean Wilsons.

• General Dynamics is a global aerospace and defense firm with a diverse portfolio of businesses and strong market presence
• The company has solid financial performance with $42.3 billion in revenue, $3.3 billion in net income, and a strong balance sheet with $8.2 billion in net debt
• The investment thesis is focused on the strength of Gulfstream business, with a healthy backlog of $21 billion, new product introductions, and a leading position in the business/private jet market, making it a promising investment opportunity.

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.

• RaaS Research Group has published an update report on advanced materials manufacturing group Amaero International (ASX:3DA) following its Q1 result in which it reported first commercial revenues of $1.0m, marking its first quarter of material commercial revenue from its Tennessee operation.
• The revenue includes approximately $0.6m from powder sales and $0.45m from PM HIP manufacturing.
• The powder sales made during the quarter included test material to ADDMAN Group, with which the company has a five-year preferred supplier agreement, as well as custom atomisation of C103 for a NYSE-listed materials company, custom atomisation of C103 for a US government-funded laboratory and custom atomisation of a development refractory alloy for another US government-funded laboratory.

• Fujikura Ltd (5803 JP) could be added to a global index at the end of November and there will be a lot of buying in the stock.
• Following the rally in the stock, Fujikura Ltd (5803 JP) trades expensive to the average and median of its peers on most valuation metrics.
• The increase in cumulative excess volume in Fujikura Ltd (5803 JP) over the last 3 months far outpaces the increase in its peers.

• Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
• On the live IPOs front,  the coming week will see a whole lot of listings across the region.
• On the placements front, there were mainly deals in Australia this week.

• Sanwa Holdings revised its first-half (1H) forecasts, increasing sales estimates from ¥293 billion to ¥313 billion, and operating profit (OP) from ¥25.6 billion to ¥32 billion
• Essilor’s growing investment in Nikon, with the optical giant increasing its stake from 5.1% to 7.38% in just a few weeks, underscores our bullish view on the name.
• Nihon Kohden recently revised its first-half (1H24) guidance, raising sales expectations by ¥700 million to ¥102.7 billion and operating profit by ¥2 billion to ¥5 billion. 

• With its share price returning to HK$0.68 level, the investment value of Singamas Container Holdings (716 HK) has re-emerged.
• Its competitor, CIMC, has just issued a positive profit alert, indicating an impressive 888.7% and 317.3% growth in reported and recurring earnings, which is positive for Singamas.
• An 11% growth in the global containership fleet in FY24 is also beneficial to the company. Its net cash of HK$1.65bn equals 1.02x its market capitalisation.

• Fujikura Ltd (5803 JP) could be added to a global index at the end of November and there will be a lot of buying in the stock.
• Following the rally in the stock, Fujikura Ltd (5803 JP) trades expensive to the average and median of its peers on most valuation metrics.
• The increase in cumulative excess volume in Fujikura Ltd (5803 JP) over the last 3 months far outpaces the increase in its peers.

• Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
• On the live IPOs front,  the coming week will see a whole lot of listings across the region.
• On the placements front, there were mainly deals in Australia this week.

• Sanwa Holdings revised its first-half (1H) forecasts, increasing sales estimates from ¥293 billion to ¥313 billion, and operating profit (OP) from ¥25.6 billion to ¥32 billion
• Essilor’s growing investment in Nikon, with the optical giant increasing its stake from 5.1% to 7.38% in just a few weeks, underscores our bullish view on the name.
• Nihon Kohden recently revised its first-half (1H24) guidance, raising sales expectations by ¥700 million to ¥102.7 billion and operating profit by ¥2 billion to ¥5 billion. 

• With its share price returning to HK$0.68 level, the investment value of Singamas Container Holdings (716 HK) has re-emerged.
• Its competitor, CIMC, has just issued a positive profit alert, indicating an impressive 888.7% and 317.3% growth in reported and recurring earnings, which is positive for Singamas.
• An 11% growth in the global containership fleet in FY24 is also beneficial to the company. Its net cash of HK$1.65bn equals 1.02x its market capitalisation.

• In the September data are clear signs of slowing momentum & price moderation
• Seasonality, NAM de-stocking, anniversary of Red Sea re-routes all contributing
• Without catalysts, we would AVOID holding shares of global container names

• Sensata Technologies repoted its Q2 2024 earnings with positive insights alongside challenges reflected in their financial outcomes.
• During Q2 2024, Sensata reported revenue of approximately $1.036 billion compared to $1.062 billion in the same period in 2023.
• Despite the decline, the company executed product elimination strategies targeting underperforming products, which, adjusted for, would depict a stable revenue curve slightly ahead of guidance.

• In the September data are clear signs of slowing momentum & price moderation
• Seasonality, NAM de-stocking, anniversary of Red Sea re-routes all contributing
• Without catalysts, we would AVOID holding shares of global container names

• Sensata Technologies repoted its Q2 2024 earnings with positive insights alongside challenges reflected in their financial outcomes.
• During Q2 2024, Sensata reported revenue of approximately $1.036 billion compared to $1.062 billion in the same period in 2023.
• Despite the decline, the company executed product elimination strategies targeting underperforming products, which, adjusted for, would depict a stable revenue curve slightly ahead of guidance.