Thematic (Sector/Industry)

• Worldwide silicon wafer shipments decreased by 2.7% to 12,266 million square inches in 2024, details here. This follows a 14.3% decline in the prior year.
• Silicon wafer companies continue to trade at historic lows with two of the top four players sporting P/B ratios of 0.7. Intel’s P/B is presently 0.9. This makes little sense.
• The current depreciation headwinds triggered by a huge CapEx splurge from 2021-2024 will turn to tailwinds once demand recovers and built-ahead production capacity stands ready & waiting.

• Stocks closed lower Tuesday after volatile trading driven by Trump’s tariff threats. The S&P 500 fell 0.8%
• Nissan Motor has appointed Ivan Espinosa, the company’s chief planning officer, as president and CEO effective April 1, replacing Makoto Uchida
• Alimentation Couche-Tard has reaffirmed its commitment to pursue its ¥7 trillion takeover of Seven & i Holdings, expressing disappointment over the target’s limited engagement.

• Odd Lots podcast announces live show in Washington D.C. discussing the Jones Act and other topics
• Tim Opler from Ste discusses China’s role in the pharmaceutical supply chain on the podcast

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

• Risk-On names leading gainers in tech, while consumer disc weak after poor airlines and retailer guidance.
• More outlets reporting on NAND hikes are on the way…look for upside for Kioxia and Kokusai Electric.
• Puma -10.7% and a weak consumer outlook enough to take the shine off Asics?

• Each week, I’ll share five intriguing investment ideas that recently caught my attention. These ideas are meant to spark your research and help you kickstart the week ahead with fresh insights.
• Because these ideas are the result of my first-level idea generation process, they require more in depth research. Therefore, the ideas will often be concise, with occasional references to valuable work from other practitioners that I encourage you to explore.
• If you have something fascinating to share that could benefit me and the wider community, don’t hesitate to send it my way—I’d love to hear from you!

• Spicejet Ltd (SJET IN) faces insolvency pleas from lessors and a former pilot amid deepening financial distress and delayed resolution efforts.
• Pepsico Inc (PEP US) plans to double India revenue in five years with focused investments in capacity, innovation, and region-specific strategies.
• Roshni Nadar becomes the third-richest Indian after receiving a 47% stake in HCL from her father, Shiv Nadar.

• Cybersecurity is the place where technology, geopolitics, and business strategy meet – and it’s evolving faster than almost any other sector.
• Every year, cyberattacks grow more sophisticated, businesses become more dependent on digital infrastructure, and governments step up regulations, making security an absolute necessity, not a luxury.
• So when it comes to long-term investment themes that offer growth and resilience, cybersecurity seems like, well, a lock.

• Trump’s tariffs are set to impact Asia, especially economies like Vietnam who stand out with a substantial 25.1% of its GDP exposed to the US market in 2024.
• India and Thailand face reciprocal tariff risks, while sectors like food and textiles may bear the brunt.
• Beyond direct tariffs, non-tariff barriers in China and India and potential inflation in the US add complexity.

• Stocks plunged Monday as recession fears mounted, with the S&P 500 dropping 2.7% to 5,614 and the Nasdaq sinking 4%
• The “Magnificent Seven” led losses, with Tesla (TSLA) plummeting 15%, Nvidia (NVDA) down 5%, and Alphabet (GOOGL) and Meta (META) losing over 4%
• Seven &i Holdings responds to shareholder Artisan Partners’ opposition to the appointment of Stephen Hayes Dacus as president

• A stealth bull market is underway in Chinese bank shares 
• Banks are well positioned to benefit as the economy grows and interest rates rise
• Value remains in the sector despite the  move up in share prices

• Japan’s SPE rebound yesterday led by Lasertec -10% may be short lived.
• However, NVDA’s week-long developers conference from Monday may act as dip buying catalyst.
• Still room for EU related plays to gain with many related names inherently defensive.

• The IMF projects India as the fastest-growing major economy, with a 6.5% GDP growth rate, but can it achieve advanced economy status by 2047?.
• Balancing fiscal prudence with investments in infrastructure, while leveraging AI for productivity, is critical for India’s transformation.  
• Structural reforms, increased private investment, and managing global risks will determine if India realizes its vision by 2047.

• UltraTech Cement is entering the Wires & Cables industry with a INR 1,800 crore investment and a plant in Gujarat, aiming for INR 9,000 crore in revenue by 2030. 
• With strong backward integration and an extensive distribution network, the move could disrupt a fragmented market. 
• However, incumbents believe scaling and regulatory approvals will be key hurdles, much like Grasim’s entry into paints.

• Market uncertainty and further disruptions at health agencies led to continued divergence between SMID-cap and large biopharma, as investors sought shelter in lower- risk, higher-quality names.
• Trump nominees, Martin Makary for the FDA and Jay Bhattacharya for the NIH, appeared on course for Senate confirmations after relatively uncontentious hearings, but both provided little confidence that they would stop or reverse the draconian changes at these agencies.
• NIH grant funding has not resumed despite a judge ruling against the cuts. RFK Jr. changed his stance on the measles outbreak, from not unusual to deeply concerned, as the second death occurred in an unvaccinated adult.

• US stocks rose Friday—Dow and S&P 500 up 0.5%, Nasdaq 0.7%—but a volatile week, jobs data, and Fed restraint signal persistent uncertainty.
• The Nikkei 225 fell 0.7% amid a volatile week, hit by trade tensions, a strong yen, and tech losses, despite gains in industrial/defense stocks.
• Inpex plans to increase crude oil and natural gas production by 30% over the next decade; ACT will hold a press conference to discuss proposed acquisition of Seven

• The just concluded Two Sessions contained little surprises but the market shrugged it off. Have animal spirits offset China’s structural economic issues?
• China’s EV sector grew 38% YoY in the first two months of 2025, above our annual target of 30%. We stick to our bullish view. 2024 grew 41% YoY;
• MINISO explored spin off of its toy chain business. We maintain SELL rating on deteriorating China business.

• Sandisk +9.7% on reports it will be hiking NAND prices by 10% in April. More to go for Kioxia and Kokusai Electric?
• Allegro running out of oomph but I would keep adding Sanken despite the jump.
• Nintendo -9.2% Friday on tariff concerns excessive ahead of upcoming Switch2 announcement in April.

• Chinese startup Manus launched a virtual AI assistant which we believe pointed to an important direction of monetization but the product itself has room for improvement;
• Douyin followed BABA to launch AI-based omni-channel-promotion ads tools. The recent trend in China Internet advertising has been AI-driven take rate increases;
• NetEase’s <Where the Winds Meet> seems to be a winner above our expectations. 

• U.S. crude exports to India hit a two-year high as refiners shift supply amid stricter sanctions on Russian oil shipments.
• Zomato (ZOMATO IN) , Swiggy (SWIGGY IN) , and Zepto face an antitrust probe over deep discounting, as local retailers allege unfair competition in India’s quick commerce sector.
• Reliance Retail tightens operations, cuts jobs, and limits expansion to boost valuations ahead of IPO, as market concerns impact investor sentiment.

• A growing number of Chinese manufacturers have set up factories in Southeast Asia, hoping to use the region to bypass U.S. import controls as the Trump administration plans to slap additional tariffs on Chinese goods.

• Whether this approach will work, however, remains to be seen as Washington may tighten its scrutiny over Chinese companies registered overseas.

• In 2024, the industrial parks that Amata Corp. PCL operates in Southeast Asia attracted nearly 90 foreign-funded factories, 75% of which were from China, Amata Chairman Vikrom Kromadit said in a recent interview with Caixin.

• Daiichi Sankyo announced positive topline result from the phase 3 trial of Enhertu in gastric cancer. Kyorin Pharmaceutical outlicensed KRP-M223, a preclinical mast-cell-targeting candidate for chronic spontaneous urticaria, to Novartis.
• Celltrion received FDA approval for Stoboclo and Osenvelt, biosimilars referencing Prolia and Xgeva, respectively. Zydus Lifesciences expects to start the development of world’s first combination vaccine against shigellosis and typhoid.
• Biocon received FDA approval for lenalidomide capsules, indicated for types of multiple myeloma, and some other hematologic indications and dasatinib tablets for the treatment of chronic myeloid leukemia.

• Hindustan Petroleum (HPCL IN) and Tata Motors Ltd (TTMT IN) launch ‘Genuine DEF’ to reduce emissions, improve vehicle performance, and ensure compliance with environmental norms nationwide.
• India’s engineering goods exports to the US grow steadily, driven by strong demand for machinery, auto components, and industrial equipment.
• Oyo accelerates IPO plans as founder Ritesh Agarwal faces a looming debt repayment deadline, pushing for a much-needed stock market debut.

• GeoPark (GPRK US)C; Target price of US$17 per share: Four new exploration wells at Confluencia Sur – The FY24 production had been reported previously.
• Gross production in Argentina is approximately 15,000 boe/d and is expected to increase to around 16,000-17,000 boe/d by the end of 2025.
• The acquisition of the Argentinian assets is anticipated to be completed in late 1Q25 or early 2Q25 pending the regulatory approval of the Neuquen province.

• Nasdaq tumbled 2.6%, entering correction territory. Marvell sank nearly 19% on a disappointing AI outlook
• The yen strengthened against the dollar to the ¥147 level, reaching its strongest position in about five months.
• Oasis Management, a 5.23% stakeholder in Kao, is urging shareholders to support its proposal for the appointment of five foreign outside directors at Kao’s AGM in June

• DeepSeek’s (DS) low-cost, high-performance open-source model fundamentally altered the AI landscape, but server overload of DS’s chatbot caused poor user experience;
• Among many Internet platforms that integrated DS into their products, Tencent stood to benefit the most. Through DS, Tencent LLM climbed 3 spots to unseat ByteDance to become the No.1;
• What Tencent has done right including preprocessing, answer caching and building dedicated nodes. Now Manus is catching the imagination of AI monetization, Tencent can possible benefit more.

• The most recent loan officer survey release from the Fed shows a very strong outlook for US banks during 1Q25 and likely during FY25 as a whole
• Core C&I loan demand is rising sharply in the survey and tightening standards on CRE loans are loosening dramatically
• Weekly balance sheet data for US banks shows better delta in loans through 19 Feb week, stagnating LLR, and rising LDR

• Huge gains for JP names with EU exposure yesterday looks set to continue as markets rotate out of AI plays.
• Sanken Electric went limit up on the news of ON Semi’s bid for Allegro, although ALGM trading very wide overnight.
• EU mania should be enough to reboot Daikin’s heat pump catalyst off stone sold levels.

• Adani Group plans to raise $12.5B over five years to fund $57.16B capex, focusing on power, utilities, and green energy.
• Paint sector demand sees mild recovery as competition intensifies, with Asian Paints countering Birla Opus’ expansion through aggressive dealer incentives.
• RBI orders large NBFCs to halt new credit lines and renewals, citing concerns over disguised borrower stress and repayment transparency.

• A 60% tariff on Chinese imports will significantly disrupt supply chains, forcing companies to either absorb costs or shift production to alternative but less efficient markets.
• Higher import duties on electronics, machinery, and consumer goods will increase manufacturing costs, leading to price hikes and reduced competitiveness for American businesses in global markets.
• Retaliatory tariffs from China, Canada, and Mexico will directly impact U.S. exports, affecting key industries like agriculture, automotive, and technology while escalating trade tensions globally.

• Interview with Vuslat, who runs a mining investment company in South Africa
• South Africa is rich in commodities like PGMs, Chrome, Manganese, Coal, and Iron Ore
• South Africa offers rule of law, democracy, and security of tenure, making it an attractive investment destination for mining companies

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

• The Indian two-wheeler industry experienced subdued performance in February 2025, with listed companies reporting modest domestic sales figures. Exports were the only bright spot.
• This insight provides a detailed analysis of sales performance of key players- Hero Motocorp (HMCL IN),Bajaj Auto Ltd (BJAUT IN) , TVS Motor (TVSL IN) and Eicher Motors (EIM IN).
• Although companies have indicated an improvement in the domestic market following the festival of Holi, it remains to be seen how the demand scenario unfolds.

• US stocks surged after President Trump granted a one-month auto tariff exemption for Mexico and Canada
• Automakers Ford, GM, and Stellantis soared at least 5% on the news.
• Trial Holdings will acquire Seiyu, a general supermarket, from KKR and Walmart for ¥383 billion

• Semi cap names higher with Trump not mentioning export restrictions on his speech to Congress.
• Disco -7% yesterday despite no news could see dip buying as oversold SPE gets bought.
• Names such as Daikin and Shimano may also catch a bid on the German spending news.

• Tata Consultancy Svcs (TCS IN) achieved a strong TCV of $10.2 billion, driven by significant large deal wins across diverse markets and industries, instills confidence for future financial years.
• HCL Technologies (HCLT IN) is Witnessing strong growth in Technology and Financial Services due to increased spending patterns, along with a sizable number of deals influenced by AI and GenAI.
• Wipro Ltd (WPRO IN) expects significant growth in AI spending and is committed to driving innovation for clients by leveraging the transformative power of AI, with discretionary spending slowly returning.

• Encore Energy experienced a significant drop in share price, down 46%, following a production miss and management change
• The company had to use purchased uranium to fulfill contract obligations, leading to inventory challenges and production struggles
• The appointment of a lawyer as acting CEO raised concerns among investors and highlighted the importance of strong leadership in the uranium industry.

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

• Each week, I’ll share five intriguing investment ideas that recently caught my attention. These ideas are meant to spark your research and help you kickstart the week ahead with fresh insights.
• Because these ideas are the result of my first-level idea generation process, they require more in depth research. Therefore, the ideas will often be concise, with occasional references to valuable work from other practitioners that I encourage you to explore.
• If you have something fascinating to share that could benefit me and the wider community, don’t hesitate to send it my way—I’d love to hear from you!

• Premier Li delivered the Government Work Report and announced key economic targets. We think there is no surprise to the market
• Regarding property front, government re-iterated its intention and willingness to contain property developer debt default risks, as seen by China Vanke case
• Valuation is undemanding.  But we continue to be bearish, and we monitor the leading indicators such as land sales and new starts

• Total public EV charging stations (incl. temporary unavailable locations) were 77,142 as of February 28, 2025. Compared to the end of FY24, it is an increase of 2.9%.
• Total EV charging ports (including the temporary unavailable ports) were 213,068, up nearly 3.1% compared to the end of 2024 and up 1.0% over January 2025.
• US considerably lags behind China which had 3.76 million public charging stations at the end of January 2025.

• UK energy policy has changed of late, following the election of a Labour government last summer.
• The quest for Net Zero by 2030 – a hardly realistic target – is now a priority.
• Rightly or wrongly, the issues of security of supply, electricity prices and generation investment have all been superseded by this overarching aim.

• The S&P 500 fell 1.2% to a four-month low after fresh U.S. tariffs on Canada, Mexico, and China took effect
• The Trump administration’s tariffs on Mexico, Canada, and China will significantly impact the automobile industry
• UNIQLO domestic same-store sales, including e-commerce, rose 12.2% year-on-year in February, driven by strong sales of winter clothing

• SEBI’s new Specialized Investment Funds (SIF) bridge the gap between mutual funds and PMS, offering sophisticated investors greater flexibility and advanced strategies.
• Launching April 1, 2025, SIFs grant access to complex derivatives and alternative investments, demanding careful review due to their high-risk nature.
• With a minimum investment of ₹10 lakh, SIFs offer dynamic portfolio allocation across equity, debt, and hybrid strategies, enhancing diversification and risk-adjusted returns.

• Reliance Industries (RIL IN) faces a $2.81 billion demand in a gas dispute, plans to challenge Delhi High Court ruling in Supreme Court.
• Haldiram’s stake sale faces delays as market downturn prompts Blackstone (BX US) to exit, citing high valuations; Temasek Holdings Pte Ltd (TMSK SP) interest continues.
• SEBI’s new open interest rules may impact BSE’s trading volumes, prompting Goldman Sachs Group (GS US) to cut its target price to Rs. 4,880.

• TSMC higher on news from the day before it is investing heavily in US fab capacity.
• Continental AG -11.6% after earnings miss sets a poor tone for JP tire makers Bridgestone, Toyo, Yokohama and Sumitomo.
• All eyes on Trumps speech to congress this morning, although markets should be firm off the open.

• The Indian commercial vehicle industry witnessed a subdued performance in February 2025, with listed companies reporting modest sales figures.
• This insight provides detailed analysis of sales performance of key players-Tata Motors Ltd (TTMT IN),Mahindra & Mahindra (MM IN),Ashok Leyland (AL IN),Eicher Motors (EIM IN)& Maruti Suzuki India (MSIL IN).
• Industry reports and management insights indicate that the commercial vehicle market is expected to remain largely stable in FY2025, with hopes for positive growth in FY2026.

• February proved to be largely directionless for SA listed property, with the J803 All Property Index up a paltry 0.27%.
• Macro instability has certainly not aided, and the Government of National Unity not being able to deliver a budget on schedule certainly was not a plus.
• Latest Rode research continues to point to the Office sector as having bottomed, and Industrial continues to perform well. While the Clur Index shows that Retail continues to perform soundly.

• The sell-off accelerated in the final hour after President Trump confirmed tariffs against Canada and Mexico would take effect Tuesday; Nvidia’s stock fell 8.7%
• TSMC will invest an additional $100 billion in the US, bringing its total investment to $165 billion, to build three new chip manufacturing facilities
• Seven & i Holdings will appoint Stephen Hayes Dacus as president, replacing Ryuichi Isaka. 

• NVDA, SMCI and Dell investigated by Singaporean authorities over chip leaks into China.
• Allegro +15% in the US following on from Sanken limit-up yesterday as ON circles.
• IHI, MHI, KHI, NEC all higher yesterday but should follow EU defense peers much higher.

• A weak rupee is proving to be a major concern for Foreign Institutional Investors (FIIs), triggering $20.2 billion in outflows from Indian equities and bonds since October 2024
• The INR has depreciated 2.7% against the US dollar, a trend that has historically coincided with sharp FII exits.
• This vicious cycle of rupee weakness → FII selling → more rupee weakness is something we have seen before.

• Balancing act. As the ag industry is preparing for the planting season, an early look at 2025 expectations by Farm Journal’s Ag Economists’ Monthly Monitor offers a mixed bag.
• On one hand, after a two-year decline, net and cash farm income are expected to increase Y/Y in 2025.
• On the other hand, the increase will be mostly due to an increase in government payments. 

• Mahindra & Mahindra (MM IN) plans to scale businesses across hospitality, aerospace, and renewables, prioritizing operational excellence over acquisitions for sustainable long-term growth.
• Ola Electric (OLAELEC IN) lays off 1,000+ employees as losses surge 50%, competition intensifies, and market share declines, leading to a 60% stock plunge.
• India’s Q3 GDP growth hits 6.2%, boosted by Maha Kumbh spending, tax cuts, and strong exports, despite market volatility and fiscal challenges.

• Ahold Delhaize / PostNL | bol sells Cycloon to owner of Intrapost Last Friday, Intrapost, Cycloon and Ahold Delahaize’s online platform bol announced that postal company Cycloon to will be bought by Den Hollander Holding B.V, a holding company with the same controlling shareholder as Intrapost: Mr. V.R. Den Hollander. bol and Cycloon are convinced that this is the best step for all parties with a view to the future.
• Cycloon focuses on sorting and delivering letterbox mail.
• The sales of these activities to Den Hollander Holding B.V, will bring Cycloon in a better position to benefit from the opportunities on the postal market and to continue to grow.

• More troubling signs for vaccines emerged last week, as next month’s annual VRBPAC meeting was canceled and RFK Jr. shrugged off latest measles outbreak.
• The Vaccines and Related Biological Products Advisory Committee (VRBPAC) selects the flu strains for the fall vaccines, six months in advance to allow for manufacturing.
• One unvaccinated child died from the Texas measles outbreak and ~20 were others hospitalized, as RFK Jr. called the outbreak not unusual, even though measles was eradicated in the US in 2000. 

• Continued policy uncertainty, the federal budget, the Ukraine war, and tariffs were all front and center for the markets this past week.
• The WTR Commercial/Contract Furniture Index declined 0.5% and the Home Goods Retailers Index fell 1.8%, while the Residential Manufacturers & Suppliers Index gained 1.3%.
• The large-cap indexes fell 0.5% and the R2K declined 0.7%.

• U.S. stocks bounced back after brief declines triggered by failed Trump-Zelensky negotiations. The S&P closed up 1.6%
• Aeon will acquire the remaining shares of its listed subsidiaries Aeon Mall and Aeon Delight, addressing investor concerns about parent-subsidiary listings
• Recruit Holdings will buy back up to ¥450bn of its shares; Daiichi Sankyo will buy back up to ¥50bn of its shares, or 0.9% of total issued shares

• Our “Buy the Worst” strategy has outperformed the HSI by 1.7pp in the first two months. Meanwhile, the basket of best-performing constituents have underperformed 1.9pp. 
• More news on stimulating consumptions should be positive to Budweiser Brewing APAC (1876 HK), Chow Tai Fook Jewellery (1929 HK), and even Hang Lung Properties (101 HK). 
• Trip.com Group (9961 HK) has been weighed down by weaker profitability on higher costs. Earnings risks may negatively affect Meituan (3690 HK) and China Hongqiao (1378 HK). 

• China’s petrochemical companies should speed up their overseas expansions, with a focus on building up capacity to withstand fierce domestic competition and rising trade barriers, an industry group leader said.
• “Internationalization has become a strategic choice for China’s petrochemical industry as it confronts global trade tensions and supply chain restructuring,” Fu Xiangsheng, vice chairman of the China Petroleum and Chemical Industry Federation, said at a press conference last week.
• Fu explained that escalating geopolitical tensions, coupled with major powers’ efforts to “decouple” from China are threatening global supply chain security.

• US broke the Tech rout on Friday while the Trump/Zelensky spat points to higher EU defense spending.
• ON Semi is reported to be making a play for Allegro signalling a potential liquidity event for Sanken.
• JP SPE was heavily sold on Fri so expect a sharp rebound to start.

• India’s E-2W market witnessed a major shakeup in Feb-2025.Ola Electric (OLAELEC IN)‘s sales nosedived,causing the company to fall from the No. 1 position in January to No. 4 in February.
• Bajaj Auto Ltd (BJAUT IN) led the market with 21,335 units, followed by TVS Motor (TVSL IN) at 18,743 units and Ather Energy (1207922D IN) at 11,788 units.
• Market continues to be highly competitive,with top three players vying for leadership. Increasing consumer adoption,new product launches, and potential IPOs from key companies indicate dynamic year ahead for E-2W industry.

• DeepSeek’s (DS) own traffic declined as rivals launching white-label DS service but DS published research paper showing unmatched profit margin of 85%;
• JD’s take out initiative update: We think JD is serious but its effort will be in vain. We think JD.com knows it too.
• Shopee and Lazada colluded to raise commission in SE Asia, benefiting both with no loss of market share.

• This note is a weekly (select weeks on SK) curated selection of Chinese news articles and company announcements focused on developers in distress
• We look for their deals, updates, specific project progress news (‘local signals’), as well as relevant local research commentaries about the market
• We do not verify the underlying data or provide any opinion, we only select and summarize the information; See direct links to the sources

• Following existing home last week, new home sales also posted positive YoY growth. 
• LI is getting ready for its major battle of the year with BEV launch. It is focused, but we doubt it is enough;
• MNSO guided down its C4Q24 and we believe it will miss 2025 as well. Offline grocery is under constant assault by O2O and online e-commerce. 

• EMA’s human medicines committee (CHMP) recommended three new medicines for approval and adopted positive opinion for one generic medicine at its February 2025 meeting. 
• The committee recommended extending the therapeutic indications of 16 existing medicines, including two cystic fibrosis medicines, KAFTRIO and KALYDECO and oncology drugs CALQUENCE, DARZALEX, ENHERTU, and RINVOQ . 
• The CHMP concluded that its opinion recommending a marketing authorization for Eisai’s Alzheimer’s disease drug Leqembi does not need to be updated.