Daily Brief Equity Bottom-Up: Smartkarma Corporate Webinar | UMP Healthcare: Undervalued Gem in Hong Kong’s Healthcare Market and more

For our next Corporate Webinar, we are glad to welcome UMP Healthcare’s Chief Financial Officer and Company Secretary, Patrick Cheung. 

In the upcoming webinar, Patrick will share a short company presentation after which, he will engage in a fireside chat with Smartkarma Insight Provider, Sameer Taneja. The Corporate Webinar will include a live Q&A session.

The webinar will be hosted on Wednesday, 23 October 2024, 15:00 SGT/HKT.

About UMP Healthcare

• ASML reported revenues of €7.5 billion, +19% QoQ and +11.9% YoY. This was €200 million above the high end of the guided range. Q424 guided to €9 billion
• Logic Fab delays and a collapse in sales to China caused ASML to reduce their 2025 forecast to the low end of the €30 -€40 billion guided in November 2022
• Despite these challenges, ASML’s latest forecast still implies 16% YoY growth in 2025

• BYD’s deliveries growth accelerated to 36% YoY in Aug and 46% YoY Sep.
• The whole domestic NEV (New Energy vehicle) market has been accelerating for for the entire third quarter.
• We believe the EU and the US market are not concerns, as both domestic and other emerging markets are promising.

• Comments focus on low bookings in 3Q24. The reset is much larger than this. ASML has capacity for 90 low-NA EUV machines in 2025-26. Demand in 2025 is below 50.
• Bullish 2025-28 guidance (revenue / capacity) provided by ASML end of 2022 is finally resetting. 2025 Consensus Net Income forecast could reset by ~20%, 2026 by ~30%.
• ASML finally factors in 1) weak end demand in all segments except for AI 2) Fab push out or cancellation  3) China accelerated Capex and over capacity are slowing.

• Dr. Wu Skincare is a leading skincare brand from developed Asia known for its skin vitamins and strong financial performance
• Despite not being cheap from a tangible NAV perspective, the brand is considered undervalued with high margins, ROE, and cash returns to shareholders
• Dr. Wu, structured as a pure marketing company with no manufacturing, has top market share in key sales channels in Taiwan and continues to grow and maintain a 5% dividend yield

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.

• We expect King Yuan Electronics Co, Ltd. (2449 TT)‘s 4Q24 outlook to be a seasonal uptrend with a slight increase quarter-over-quarter.
• NVIDIA Corp (NVDA US) will become the top client at KYEC, and Mediatek Inc (2454 TT) is expected to become the second-largest client in the outlook for 2025.  
• The focus will primarily be on currently available sources, particularly KYEC for production.  

• Hyundai is competing against the US and China in the global autonomous vehicle market, trying to keep up with the latest technological developments.
• Tesla’s new Robotaxi and self-driving bus have been unveiled, but doubts linger about whether they will be commercially successful in the long run.
• TsangYow is planning for growth as Asian markets recover, with a Malaysian plant set to launch in 2027. HK startups are utilizing AI for growth in education and tourism sectors.

• Masimo Corporation’s second quarter of 2024 earnings conference call came with updates that carry implications of both strength and ongoing challenges.
• The company, primarily known for its healthcare technologies, showed a robust performance in its healthcare segment, with a noticeable 23% year-on-year growth in healthcare revenues, totaling $344 million for the quarter.
• This growth is supported by a 29% increase in consumables and service revenue, reflecting strong demand for Masimo sensors, driven by hospital conversions and normalization of installations.

• At a 51 NPE, Daiichi Sankyo was priced for perfection.
• We do like their focus on the high growth oncology segment, however, we felt that the valuation left no room for error.
• Post the two disappointing trial announcements, at a 39 NPE, the valuation is become more palatable and getting closer to our mid-thirties target entry point.

• GENOVA (9341 JP) recorded better-than-expected sales and operating profit in Q1FY25, driven by continued strong demand. With the progress achieved in Q1FY25, the company is expected to beat H1FY25 guidance.
• Medical Platform business has been experiencing steady growth in both the number of articles and page views, leading to creation of multiple contracts and improve the platform’s unit contract price.  
• The company had 14K customers for the Medical Platform Business and the Smart Clinic Business in Q1FY25, a mere 8% of its estimated potential customer base of 173K clinics.