In today’s briefing:
- Meidong: Insights from Call with the Management for H1 2022
- Applied Materials Inc: The Picosun Oy Acquisition & Other Drivers
- 82: Quick Look: Triumph Bancorp (TBK)
- Norton LifeLock Inc: Evolution of Norton 360
- Dell Technologies: New Additions To Storage Portfolio & Other Drivers
- Cisco Systems Inc: Financial Forecasts, DCF & Comparables Valuation, ESG & Other Risks (09/22)
- Macy’s Inc: Survival In A Challenging Macro Environment & Other Factors
Meidong: Insights from Call with the Management for H1 2022
- China MeiDong Auto (1268 HK) presents an excellent investment opportunity, trading at 13.3x/8.1x FY22/23e, post street estimate revisions downwards with a dividend yield of 6.0%/10% (assuming an 80% payout).
- China MeiDong Auto (1268 HK) ‘s integration of Starchase is progressing better than we expected, with metrics on inventory dramatically improving. We believe the management will focus on aftersales now.
- The company will join the EV bandwagon by collaborating on aftersales with players having operational (not financial) difficulties performing this service, presenting a good opportunity for the company.
Applied Materials Inc: The Picosun Oy Acquisition & Other Drivers
- Applied Materials saw a decent quarter as overall demand remains healthy which enabled the company to deliver an all-around beat.
- In the quarter supply chain improved incrementally.
- Among major updates, Applied Materials carried out the acquisition of Picosun Oy, a semiconductor equipment company based in Finland.
82: Quick Look: Triumph Bancorp (TBK)
- A conversation with a new friend led me to take a look at Triumph Bancorp.
- This friend knows the leadership of TBK and urged me to take a look. This quick look might turn into full Watchlist Investing Deep Dive.
- Right now it’s more of a way for me to think through my first impressions of TBK and its business.
Norton LifeLock Inc: Evolution of Norton 360
- Norton LifeLock’s business has been adversely affected by the volatile forex environment and various macroeconomic pressures.
- The customer unit retention stays stable, and it continues to drive improvements to main cohorts with the inclusion of its newer customers.
- It has made inroads from its latest Norton Identity Advisory Plus launch in the UK market.
Dell Technologies: New Additions To Storage Portfolio & Other Drivers
- Dell Technologies’ stock price has crashed after the company indicated a weak sectoral outlook for PC sales.
- The company observed ISG demand pushing throughout the quarter even though it was still expanding slowly.
- Among new launches, Dell Technologies has also introduced software-driven modern storage solutions throughout its storage portfolio to promote improved intelligence, automation, cyber resilience, and multi-cloud flexibility.
Cisco Systems Inc: Financial Forecasts, DCF & Comparables Valuation, ESG & Other Risks (09/22)
- Cisco Systems had quite a strong quarter and was able to exceed Wall Street expectation on all counts despite operating in an incredibly dynamic environment.
- The company continues to view strong customer adoption of its subscriptions and software driven by its targeted investments.
- We provide the stock of Cisco Systems with a ‘Hold’ rating with a revision in the target price.
Macy’s Inc: Survival In A Challenging Macro Environment & Other Factors
- Despite the increasingly difficult consumer environment, Macy’s delivered a decent quarterly result which also happened to be an all-around beat.
- Its $5.6 billion in quarterly net sales exceeded its projections, despite a 1.6% decline in comparable owned plus licenced sales.
- Elevated inventory levels within particular categories were caused by the high industry-wide inventory levels and the decline in consumer discretionary spending.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
