Thematic (Sector/Industry)

The S&P 500 and Nasdaq Composite hit new record highs in Wednesday’s shortened trading session
The German Association of the Automobile Industry reduced its 2024 EV production forecast to 1 million units, citing declining sales due to subsidy cuts.
Daikin Industries plans to boost home air conditioner production by 15% in FY2024 to a record 8.83 million units

Asia Credit – HK Weakens More, Indonesia, Taiwan Remain Strong, and Improving

Domestic credit growth in Hong Kong weakened further in latest monthly release at -2.2% YoY. Weekly Centa City Leading Index grinds lower, a more HFD point relevant to credit
The acceleration in domestic credit growth in Indonesia is unique, where growth is up to +11.2% YoY in most recent month vs +5.2% YoY in the same month last year
We remain concerned about credit metrics for HK’s banks given contracting growth, worsening property, which is collateral. Many HK banks have done little in provisioning

#23 India Insight: Tata Hitachi Market Share, Patanjali Acquires Non-Food Business, ITC Exports

Tata Hitachi Targets Increased Market Share Amid Chinese Competition, Plans Manufacturing Expansion
Railways to Receive PLI Boost, Aiming to Reduce Import Dependency and Foster Local Manufacturing
India’s Coal Production Surges 14% in June, Reaching 84.63 Million Tonnes, Boosting Sector Efficiency

Hardman & Co Monthly: July 2024

By Hardman & Co

In 2023, and for the second year running, the Hardman & Co sector index declined, by 3.7%, underperforming both the FTSE 100 and the FTSE All-Share indices.
This is quite unusual for healthcare stocks. Our Index covers 52 companies, only 15 of which saw an increase in their share prices in 2023, and four of those were on account of M&A activity.
Apart from the general economic influences, which have made institutions more risk-averse, there was a common knowledge that several companies were in need of additional working capital; so, share prices were marked down in anticipation of equity raises.

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Jul 03

Daily Brief Thematic (Sector/Industry): Ohayo Japan | Tesla Surprises Wall Street and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Ohayo Japan | Tesla Surprises Wall Street
Online Game Monitor: June 16-July 1, 2024
[Blue Lotus Daily]:1810HK/1211HK/LI/NIO /XPEV/ATAT/2352CH/BEKE/2618HK/2352SZ/ZTO/1519HK/981HK/9699HK
US Battery and Solar Investments, One Year After, Part I
[Blue Lotus Daily-TMT Update]:JD/PDD/BABA/BILI/BIDU/700HK/3888HK/1024HK/NTES /3690HK/TCOM/SE/CPNG/BZ
US EV Charging Infrastructure Tracker: Update – June 2024
#22 India Insight: Increase in Windfall Tax on Crude Oil, L&T Offshore Order, M&M Volume Rise
Fabricated Knowledge Q2 2024 Quarterly Review
[Blue Lotus Daily-TMT Update]:NTES US/BIDU US/AMZN US/BABA US/002230 SZ/9992 HK/1024 HK

Ohayo Japan | Tesla Surprises Wall Street

U.S. stocks climbed on Tuesday, with the S&P 500 and Nasdaq Composite reaching new record highs, driven by a surge in Tesla share
NKY Futures point to a strong open, continuing the strong momentum from yesterday.
Tokio Marine and Sompo maybe planning to sell approximately 500 billion yen ($3.1 billion) worth of Honda shares

Online Game Monitor: June 16-July 1, 2024

By Stan Zhao

Bilibili’s <Three Kingdom: MDTX> continues to show strong monetization performance, Based on our data tracking, we are raising the annual grossing estimate by 25% to approximately RMB 5.5 billion.
NetEase’s <Naraka Mobile> has surpassed 40 million pre-registrations, making it the most pre-registered game in NetEase’s history. We are raising the annual grossing estimate by 20% to RMB 12 billion.
Tencent’s <FGS> has seen a continuous rise in popularity following the release of the new mode. We are raising the annual grossing estimate by 10% to RMB 13 billion.

[Blue Lotus Daily]:1810HK/1211HK/LI/NIO /XPEV/ATAT/2352CH/BEKE/2618HK/2352SZ/ZTO/1519HK/981HK/9699HK

1810 HK/1211 HK/LI US/NIO US/XPEV US: EV sales were strong in the 25th week of 2024, with several brands reaching new highs (/////////)
ATAT US:The first Atour Hotel 4.0 opens in Xi’an. (+)
Ministry of Commerce: Mainland China will increase the tax-free allowance for luggage carried by resident travelers entering from Hong Kong and Macao

US Battery and Solar Investments, One Year After, Part I

One year after June 30, 2023, only 18% more of total battery capacities were added in US, below EU’s 26% more added over the same period;
Chinese companies have largely shunned away from US investments, contributing only 8.7% of total. Most Chinese investments are in the mineral, instead of cell and package segments;
Envision/AESC alone contributed 2/3 of Chinese investments in US and is the only Chinese company investing in the cell segment.None invests in the package segment.

[Blue Lotus Daily-TMT Update]:JD/PDD/BABA/BILI/BIDU/700HK/3888HK/1024HK/NTES /3690HK/TCOM/SE/CPNG/BZ

JD US/PDD US /BABA US: JD launches new low-priced initiative to target lower-tier market (+/-/-)
BABA US/BILI US/BIDU US/700HK: Bilibili and Xiaohongshu inaccessible after 38-minute cloud crash (-/-/+/+)
700 HK: Tencent announces upgraded LLM training system . (+)

US EV Charging Infrastructure Tracker: Update – June 2024

By Garvit Bhandari

Total public EV charging stations (incl. temporary unavailable locations) were 70,222 as of June 30, 2024. Compared to the end of FY23, it is an increase of 8.6%.
Total EVSE charging ports (including the temporary unavailable ports) were188,025, up nearly 11.7% compared to the end of 2023 and up 1.8% over May 2024.
California has the highest number of EV charging stations in the country. It accounts for a 25% share of public EV charging stations and 26% of public EV charging ports.

#22 India Insight: Increase in Windfall Tax on Crude Oil, L&T Offshore Order, M&M Volume Rise

Government Hikes Windfall Tax on Crude Oil to Rs.6,000 per Tonne from Rs.3,250
Larsen & Turbo Secures Significant Offshore Order worth Rs. 2,500 crores from ONGC
Mahindra & Mahindra Total volume Rise 11% YoY to 69,397 Units in June 2024

Fabricated Knowledge Q2 2024 Quarterly Review

By Douglas O’Laughlin

This is my quarterly piece, where I round up all of my favorite ideas (more explicitly) and explain some semiconductor jargon. This is a meta piece of content.
First and foremost, I’ll start with performance. SMH returned 14% this quarter, among the best quarters in history for the semiconductor universe (again).
This quarter’s leader was AOSL, who is rumored to have won a socket at Nvidia.

[Blue Lotus Daily-TMT Update]:NTES US/BIDU US/AMZN US/BABA US/002230 SZ/9992 HK/1024 HK

NTES US: <Naraka: Bladepoint> PC Celebrates Third Anniversary with Several New Updates (+)
BIDU US: Baidu Netdisk Adds Vertical Screen Playback Feature to Accommodate Micro-Dramas (+)
AMZN US/BABA US: TikTok Shop to launch in Spain (-)

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Jul 02

Daily Brief Thematic (Sector/Industry): Micron Earnings and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Micron Earnings, SiTime, Consumer, and Applied Materials Insider Sale
Ohayo Japan | New Nasdaq Record
Portfolio Update: June 2024
#21 India Insight: Zomato Tax Demand, Tata Steel Legal Action, NTPC Rs. 12,000 Fund-Raise
Furniture/Furnishings Weekly – July 1, 2024
The Highlights – Cannabis News for the Week Ending June 28, 2024
Biopharma Week in Review – July 1, 2024

Micron Earnings, SiTime, Consumer, and Applied Materials Insider Sale

By Douglas O’Laughlin

Micron’s earnings were… acceptable.
The market didn’t like the guide, but I think it is more of a function of expectations management.
Micron is clearly on the upswing, and the stock needs healthy revenue and profit beats.

Ohayo Japan | New Nasdaq Record

The tech-heavy Nasdaq advanced 0.8% to hit a record high. Tech giants Microsoft and Apple surged 2.2% and 2.9%
Tesla rose more than 6% ahead of quarterly delivery numbers released on Tuesday, expected to show a decline of ~5%
Japan’s average land price rose by 2.3% in 2024, the highest annual increase since 2010, driven by economic recovery and rising tourism.

Portfolio Update: June 2024

By Contrarian Cashflows

There were no changes to the portfolio in June.
The two major news among my holdings come from Norbit and Lindbergh.
Norbit acquired Innomar, a market leader in sub-bottom profilers in the maritime industry, to strengthen their oceans segment product offering.

#21 India Insight: Zomato Tax Demand, Tata Steel Legal Action, NTPC Rs. 12,000 Fund-Raise

GAIL’s Rs. 12,940-crore Urja Ganga gas pipeline delayed to March 2025 completion date
Tata Steel UK pursues legal action against Unite union over planned July 8 strike
IREDA could unlock Rs. 22-lakh crore debt market for renewables energy

Furniture/Furnishings Weekly – July 1, 2024

Residential furniture stocks had a tough week over concerns about demand, though commercial furniture stocks fared better.
The Water Tower Research Commercial/Contract Furniture Index declined 0.5%, the Residential Manufacturers & Suppliers Index fell 3.2%, and Home Goods Retailers declined 5.7%.
All three trailed the broader indexes (+0.2 to +0.5%) and the Mass Retailers Index (+1.7%).

The Highlights – Cannabis News for the Week Ending June 28, 2024

Cannabis stocks had a volatile week but finished almost exactly flat.
The US cannabis MSOS ETF ended the five days down 0.27%, while the global YOLO ETF gained 0.43%.
Among the larger MSOs, Green Thumb Industries (CSE: GTII, OTCQX: GTBIF) at +6.11% and Verano (NEO: VRNO, OTCQX: VRNOF) at +5.49% performed best, while Jushi (CSE: JUSH, OTQCX: JUSHF) had the largest weekly loss.

Biopharma Week in Review – July 1, 2024

We review last week’s biopharma news for meaningful clinical data, regulatory updates, research innovation, and M&A.
We recapped our IOC of Ainos, Inc. (AIMD) in a FlashCast Podcast. Those interested can listen to the episode on Apple Podcasts or Spotify.
Alnylam Pharmaceuticals, Inc. (ALNY) reported strong vutrisiran Phase 3 HELIOS-B results for ATTR-CM, showing a significant 28% reduction in the primary composite endpoint of mortality and CV events for all patients (HR=0.718, p=0.0118) and a 33% reduction for the mono subset (HR=0.672, p=0.0162) versus placebo.

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Jul 01

Daily Brief Thematic (Sector/Industry): Ohayo Japan | First Half Done and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Ohayo Japan | First Half Done
China Slams EU’s EV Anti-Subsidy Probe as ‘Disregarding’ WTO Rules
Most of China’s Top Auto Suppliers Are Expanding Into Europe, Report Shows

Ohayo Japan | First Half Done

U.S. stocks dipped on Friday as investors processed economic data signaling slowing inflation. Nike down 20%.
Japan’s Ministry of Internal Affairs and Communications and KDDI will collaborate on developing generative AI
NTT DATA plans to launch multiple satellites by 2026 to create a space-based observation network, enhancing disaster monitoring and national security

China Slams EU’s EV Anti-Subsidy Probe as ‘Disregarding’ WTO Rules

By Caixin Global

China has slammed the European Commission for requiring Chinese electric-vehicle (EV) and battery makers to provide additional information for its anti-subsidy probe as beyond what is required, saying that its requirements “undermine fair competition” and “disregard” World Trade Organization (WTO) rules.
“The types, scope and amount of information that the European Commission has asked from Chinese companies are unprecedented, far exceeding the needs of the anti-subsidy investigation,” said He Yadong, a spokesperson for the Ministry of Commerce (MOC), at a Thursday media briefing.
The information requested included detailed battery components and formulation, as well as the production costs of EVs, purchase information for all EV parts and raw materials, sales channels and pricing methods, and information on customers in Europe, He said.

Most of China’s Top Auto Suppliers Are Expanding Into Europe, Report Shows

By Caixin Global

Chinese suppliers of both auto hardware and software are following their carmaking clients overseas, particularly focusing on Europe and North America, a new report showed.
The suppliers have several motivations, such as being more responsive to their Chinese clients with assembly plants abroad, reducing shipping costs, avoiding tariffs and localizing their operations, according to industry data compiled by Cyzone research center and a subsidiary of China Automotive Technology and Research Center Co. Ltd.
The report looked at 70 “outstanding” Chinese auto parts and software suppliers that were expanding overseas as of June.

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Jun 30

Daily Brief Thematic (Sector/Industry): GEMWeekly (28 Jun 2024): Sluggish Chinese Consumer and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

GEMWeekly (28 Jun 2024): Sluggish Chinese Consumer, China Macro; Jd.com, Bharti Airtel, Tencent

GEMWeekly (28 Jun 2024): Sluggish Chinese Consumer, China Macro; Jd.com, Bharti Airtel, Tencent

By Wium Malan, CFA

The Global Emerging Markets Weekly summarizes the key news and related developments impacting the largest countries and constituents of the Global Emerging Markets equity indices.
Macro data points: Further relaxation of Chinese property restrictions in Beijing
Companies mentioned:JD.com (9618 HK), PDD Holdings (PDD US), Alibaba Group Holding (9988 HK), Vodafone Idea (IDEA IN), Bharti Airtel (BHARTI IN), Tencent (700 HK)

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Jun 29

Daily Brief Thematic (Sector/Industry): Japan Financials – Buybacks Strongest at Japan Post Insurance and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Japan Financials – Buybacks Strongest at Japan Post Insurance, Japan Post Holdings, Yamaguchi
#20 India Insight: Ultratech Cement Acquisition, India’s Bond in JP Morgan, Ather Energy Investment
Japan Weekly | IHI, Sumi Pharma, Toho, Sawai, JEOL
[Blue Lotus Daily – TMT Update]:700 HK/BIDU US/BABA US/0020 HK/NTES US/3690 HK
AUCTUS ON FRIDAY – 28/06/2024

Japan Financials – Buybacks Strongest at Japan Post Insurance, Japan Post Holdings, Yamaguchi

Of the nearly 200 financials in Japan, on average shares outstanding are up 3% over the past several years
Japan Post Insurance, Japan Post Holdings, and Yamaguchi Financial are at the extreme opposite end with shares outstanding at -22%
MS&AD features well ranking #11 of financials in our sample, with shares outstanding at -7%, adding well to its commitment on dividends, cross-shareholdings sales

#20 India Insight: Ultratech Cement Acquisition, India’s Bond in JP Morgan, Ather Energy Investment

Ather Energy to Invest Over Rs 2,000 Crore in Maharashtra Plant
UltraTech Cement to acquire 23% stake in India Cements for Rs 1,885 crore
India’s government bonds included in JP Morgan Emerging Market index

Japan Weekly | IHI, Sumi Pharma, Toho, Sawai, JEOL

U.S. economy: Mixed signals with Q1 GDP growth revised up to 1.4%, driven by business investment and trade, while jobless claims hit a high, raising unemployment concerns.
Japan’s Nikkei 225: Strong performance, up 986 yen for the week, fueled by major stock rebounds and IPO interest, despite dollar-yen depreciation to 161 yen.
Market outlook: Nikkei up 2.2% in June, nearing 40,000 yen; cautious sentiment prevails with U.S. markets closed on July 4th and UK elections ahead

[Blue Lotus Daily – TMT Update]:700 HK/BIDU US/BABA US/0020 HK/NTES US/3690 HK

700 HK/BIDU US/BABA US/0020 HK: Chinese Domestic AI Model Providers Announce Discount Policies to Capture Market Following OpenAI’s Withdrawal from China(+//////)
700 HK: Tencent Releases 2024 Summer Vacation Playtime Schedule for Minors(/)
NTES US: <World of Warcraft Official> Servers to Launch on August 1, All Players Get 14 Days Free Game Time (+)

AUCTUS ON FRIDAY – 28/06/2024

By Auctus Advisors

AUCTUS PUBLICATIONS ________________________________________ Chariot (CHAR LN)C: target price of £0.50 per share: Key step towards developing future gas to industry business onshore Morocco – Chariot has signed Heads of Terms with Vivo Energy for the future offtake from the Loukos onshore licence where natural gas has been encountered at Dartois.
Up to 3 mmcf/d would be initially sold to the CNG midstream business under a long-term gas sales agreement.
Vivo intends to design, fund, construct and operate a CNG plant and virtual distribution network to transport natural gas from a number of sources to existing and new industrial customers in Morocco.

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Jun 28

Daily Brief Thematic (Sector/Industry): Ohayo Japan | Semiconductor Stocks Struggled and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Ohayo Japan | Semiconductor Stocks Struggled
[Blue Lotus Daily – TMT Update]:NTES/BABA/SE/MELI/AMZN/MGLU3 BZ/690 HK/TCOM/700HK/BIDU/PDD/JD
[Blue Lotus Daily]:1810 HK/JD US/ATAT US/BEKE US/981 HK

Ohayo Japan | Semiconductor Stocks Struggled

Semiconductor stocks struggled, with Micron sliding over 7% and Nvidia dropping nearly 2%, rekindling fears of last week’s market sell-off.
Nike reported a 1.71% drop in fourth-quarter revenue, missing analyst expectations
SoftBank’s Vision Fund 2 plans to invest $10-$20 million in U.S. search startup Perplexity AI, valuing it at $3 billion

[Blue Lotus Daily – TMT Update]:NTES/BABA/SE/MELI/AMZN/MGLU3 BZ/690 HK/TCOM/700HK/BIDU/PDD/JD

NTES US: <Naraka Mobile> to Officially Launch on July 25(+)
BABA US /SE US /MELI US /AMZN US /MGLU3 BZ: Leading Brazil retailer announces partnership with AliExpress (+/-/-/-/+)
Douyin/3690 HK/TCOM US: Douyin Raises Software Service Fees for Life Services (+/+)

[Blue Lotus Daily]:1810 HK/JD US/ATAT US/BEKE US/981 HK

1810 HK: Xiaomi EV deliveries continue to rebound in week 25 of 2024(/)
1810 HK/JD US: Data provider says smartphone sales volume grew 6.8% yoy during 6/18 (+/+)
ATAT US: Atour Planet achieved a GMV of RMB370mn during the 618 promotion, representing a year-on-year growth of 230%(+)

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Jun 27

Daily Brief Thematic (Sector/Industry): Ohayo Japan | Yen Flirts with 161 and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

Ohayo Japan | Yen Flirts with 161
What Is Cooking in Indian Textile Sector?
Japan Banks – Trading Gains and Cross-Shareholding Vary Widely Among Megabanks and Regionals
India Banks – Divergent Trends at Canara and Bandhan Fundamentally Support NIFTY Bank Rebalancing
#19 India Insight: Telcos Bid for 5G Spectrum, UltraTech Acquisition, Bajaj Auto Expands Capacity

Ohayo Japan | Yen Flirts with 161

The Nasdaq Composite rose 0.49%, driven by a 3.9% surge in Amazon, which hit a $2 trillion market cap milestone.
Japan wants companies to disclose the percentage of women in management roles, aiming to address gender disparities
Tourists in Japan spent an annualized 7.2 trillion yen ($45.1 billion) in early 2024, making it Japan’s second-largest export category

What Is Cooking in Indian Textile Sector?

By Nimish Maheshwari

Cotton consumption in the 2023-24 season is estimated at 307 lakh bales, making it one of the highest in the past decade.
Government is considering extending the PLI scheme to all garments, including cotton ones.
Minister Singh also emphasized the need for a comprehensive roadmap to elevate India’s textile market from $165 billion to $350 billion.

Japan Banks – Trading Gains and Cross-Shareholding Vary Widely Among Megabanks and Regionals

We derive which of Japan’s banks may be most or least exposed to trading gains from divestment of cross-shareholdings.
Mizuho looks best of the megabanks and SMFG looks least good of the megabanks.
Japan Post Bank and SBI Shinsei may appear to have a high potential for selling domestic stocks, but we believe other drivers make them appear this way.

India Banks – Divergent Trends at Canara and Bandhan Fundamentally Support NIFTY Bank Rebalancing

Canara Bank (CBK IN) has seen its NPL ratio decline dramatically over the past several years, which is at complete odds with Bandhan Bank Ltd (BANDHAN IN)
Net profit is nearly 50% lower for Bandhan Bank Ltd (BANDHAN IN) while Canara Bank (CBK IN) moved from a loss to the best profit on record
The loan-to-deposit ratio (LDR) of Bandhan Bank Ltd (BANDHAN IN) has come down from over 200% to 100%, but remains high; Canara Bank (CBK IN) is gently widening to 77%

#19 India Insight: Telcos Bid for 5G Spectrum, UltraTech Acquisition, Bajaj Auto Expands Capacity

Telcos Bid INR 11,000 Crore in First Day of 5G Spectrum Auction
UltraTech Cement Revises RAKWCT Acquisition from 31.6% to 25% Stake
Bajaj Auto Achieves Over 7 Million Unit Production Capacity in FY24

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Jun 26

Daily Brief Thematic (Sector/Industry): #18 India Insight: Tata Motors Demerger and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

#18 India Insight: Tata Motors Demerger, Kotak Bank Expands, Ather Plans IPO
Ohayo Japan | Nvidia Show Rolls On
For Chinese BEV Makers, A Potential ‘Backdoor’ to the US BEV Market May Be Shut by Mexico
[Blue Lotus Daily]:1211HK/LI/XPEV/NIO/BEKE/1810HK/300207SZ/300750SZ/LKNCY/9926HK/MNSO/600519CH
[Blue Lotus Daily – TMT Update]:700 HK/BABAUS/BIDUUS/TCOMUS/NTESUS/AAPLUS/002624 CH/259960KRX/NVDAUS
Leaders of Japan’s Drugstore Sector
Sustainable Investing Surveyor – Focus on Spruce Power Holding Corporation (SPRU)

#18 India Insight: Tata Motors Demerger, Kotak Bank Expands, Ather Plans IPO

Kotak Mahindra Bank aims to add up to 200 branches in FY25
Ather Energy converts to a public company, planning an IPO in 2024
Ata Motors plans to demerge its PV and CV businesses for better synergy

Ohayo Japan | Nvidia Show Rolls On

U.S. markets were mixed on Tuesday; Dow Jones fell 299 points (-0.8%), ending a five-day win streak, while S&P 500 (+0.4%) and Nasdaq (+1.3%) rose.
Japan’s May machine tool orders rose 4% to 124.5 billion yen, with Asia, especially China, driving an 18% sales surge.
Hitachi saw a 70% rise in executives earning over 100 million yen in FY 2024, totaling 34, due to tying compensation to stock performance.

For Chinese BEV Makers, A Potential ‘Backdoor’ to the US BEV Market May Be Shut by Mexico

By Daniel Hellberg

Under pressure from US, Mexico appears to shut out Chinese BEV makers
Biden administration seems intent on keeping low-priced Chinese BEVs out
Next: monitor new BEV investments in MX, and policies of new prez Sheinbaum

[Blue Lotus Daily]:1211HK/LI/XPEV/NIO/BEKE/1810HK/300207SZ/300750SZ/LKNCY/9926HK/MNSO/600519CH

1211 HK/LI US /XPEV US/NIO US: China and the EU have launched negotiations on electric vehicle tariffs (///////)
BEKE US: Existing Home Sales Increase 61% YoY in the 26th Week of 2024, Expected to Increase 19% YoY in June (+)
1810 HK/ NIO US/ XPEV US/ LI US/1211 HK/300207 SZ/300750 SZ: Xiaomi’s third model was said to be a low priced model, targeting low tier cities .(/////////////)

[Blue Lotus Daily – TMT Update]:700 HK/BABAUS/BIDUUS/TCOMUS/NTESUS/AAPLUS/002624 CH/259960KRX/NVDAUS

700 HK: Institutions Report <DnF Mobile>’s First-Month Revenue Exceeds US$270mn; We Expected to Rise Further After June 20 Update(+)
700 HK: Tencent’s <Peacekeeper Elite> New Version Adds Two New Playable Modes, Positive Player Recall Performance(+)
BABA US/BIDU US: LLM failed Chinese Gaokao with Math the biggest challenge(+/-)

Leaders of Japan’s Drugstore Sector

By Michael Causton

Japan’s drugstore sector is in the midst of consolidation through organic expansion and M&A but who are the leaders and how do they compare?
We provide snapshot profiles on each of the key players, their current strategies and future outlook.
With the sector increasingly threatening the supermarket and convenience store sectors, many of these names will come to dominate Japanese retailing in the next decade.

Sustainable Investing Surveyor – Focus on Spruce Power Holding Corporation (SPRU)

The WTR Sustainable Index was down 0.8% W/W versus the S&P 500 Index (up 0.6%), the Russell 2000 Index (up 0.8%), and the Nasdaq Index (up 0.2%).
Energy Technology (14.5% of the index) was down by 3.0%, while Industrial Climate and Ag Technology (60.3% of the index) was up by 0.2%, ClimateTech Mining was down 5.3%, andAdvanced Transportation Solutions (19.6% of index) was down 2.6%.
Top 10 Performers: NRM, VIHD, OESX, FNI, DCFC, PNPN, SMR, LICY, ASYS, PSIX

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Jun 25

Daily Brief Thematic (Sector/Industry): SEBI’s New Measures to Tackle IPO Call Auction Manipulation and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

SEBI’s New Measures to Tackle IPO Call Auction Manipulation
Ohayo Japan | Mixed Message Monday
Relief Comes to Global Supply Chain with Panama Canal Returns to Normalcy
#17 India Insight: Fintech Dominance, Electronics Boom, Tata Steel Challenge
Japan Drugstores: More M&A as Sector Attacks Supermarkets and Conbini
Semiconductor WFE Q124 Revenues, China’s Share & What Are They Doing With All Those Tools?
Oilfield Services: Still Way Too Cheap
Furniture/Furnishings Weekly – June 24, 2024
Biopharma Week in Review – June 24, 2024
The Highlights – Cannabis News for the Week Ending June 21, 2024

SEBI’s New Measures to Tackle IPO Call Auction Manipulation

By Nimish Maheshwari

SEBI shortens IPO pre-open call auction sessions, introduces random closure, and enhances surveillance to combat manipulation.
These measures aim to improve price discovery, transparency, and prevent artificial inflation of demand and supply in IPOs.
SEBI’s proactive steps bolster market integrity, making IPO processes fairer and more reliable for investors.

Ohayo Japan | Mixed Message Monday

The Dow Jones Industrial Average gained 260 points (0.7%) to extend its winning streak to five days
Nvidia’s 6.7% drop dragging the Nasdaq down by 1.1% and putting Nvidia into correction territory.
Shimamura’s March-May 2024 profits hit a record high, driven by strong sales of high-end private brands

Relief Comes to Global Supply Chain with Panama Canal Returns to Normalcy

By Amrutha Raj

The ACP has expedited the increase of the maximum authorized draft for vessels to forty-five feet in line with rising water levels and the start of the rainy season.
Adjustments to draft and transit schedules are driven by higher-than-expected water levels in Gatun and Alajuela Lakes since May 26.
ACP is implementing range of water-saving initiatives and planning infrastructure investments such as a new reservoir, to enhance capacity and resilience against climate variability.

#17 India Insight: Fintech Dominance, Electronics Boom, Tata Steel Challenge

India’s fintech startups to dominate future unicorns, contributing $11.4 billion value
Electronics manufacturing sector projected to hit $500 billion valuation by 2030
Tata Steel might expedite furnace closures amid strike and job cut disputes

Japan Drugstores: More M&A as Sector Attacks Supermarkets and Conbini

By Michael Causton

The big merger between Welcia and Tsuruha is part of a wider concentration of market share in the drugstore sector as the leaders take on supermarkets and even convenience stores.
Japan’s drugstores have morphed into multiple sub-formats, selling food and other FMCG products in ever higher ratios, creating massive pressure for other sectors.
The net effect is the emergence of a powerful new retail sector that is impacting all other FMCG retail formats and even lifestyle categories like cosmetics.

Semiconductor WFE Q124 Revenues, China’s Share & What Are They Doing With All Those Tools?

By William Keating

Global semiconductor equipment billings amounted to $26.4 billion in Q124, down 6% QoQ and down 2% YoY
China’s annual WFE spending has roughly doubled between 2020 and 2023 to $36.6 billion
A combination of China’s WFE customers including new entrants and a high failure rate among semi startups means that spending has not yet translated into corresponding increase in semi output

Oilfield Services: Still Way Too Cheap

By Atrium Research

We anticipate oil prices to remain within the US$80-$90 range, which will sustain the current uptick in E&P capital expenditure and foster a strong environment for oilfield services firms.
Our peer group continues to trade at deep-value multiples; currently at 4.5x/4.0x 2024E/2025E EBITDA.
We highlight a few of our favourite small-cap names that we believe have significant upside as we move into H2/24.

Furniture/Furnishings Weekly – June 24, 2024

SCS and LZB both reported strong earnings. Steelcase gained 7.2% for the week after posting strong orders and margins in 1QFY25 with adjusted EPS of $0.16, beating consensus of $0.10 and our estimate of $0.11. LZB surged 12.4% after posting adjusted 4QFY24 EPS of $0.95 versus consensus of $0.70.
It was a mixed week for the Water Tower Research Furniture/Furnishings indexes.
The Commercial/Contract Furniture Index was up 3.3% for the week, while the Residential Manufacturers & Suppliers Index was down 1.1% and the Home Goods Retailers Index was down 1.2%.

Biopharma Week in Review – June 24, 2024

We are initiating our Biopharma Week in Review.
In this report, we will review coverage items and last week’s biopharma news for meaningful clinical data, regulatory updates, research innovation, and M&A.
We published an initiation of coverage on Ainos, Inc. (AIMD). Click here for the full report.

The Highlights – Cannabis News for the Week Ending June 21, 2024