In today’s briefing:
- ZKH Group Pre-IPO – If Only Its Growth Was Sustainable
- Snowman Logistics- Forensic Analysis
- DSV: Long-Term Structural Winner
- Lasertec (6920 JP): Negative Potential of Sculpta Not in the Price
ZKH Group Pre-IPO – If Only Its Growth Was Sustainable
- ZKH Group (ZKH US) is looking to raise about US$300m in its upcoming US IPO.
- ZKH Group is a leading maintenance repair and operations (MRO) procurement service platform in China, according to CIC, providing one-stop MRO procurement and management services and digital and fulfillment solutions.
- ZKH Group’s revenue has been primarily driven by its product sales segment during the track record period. However, its GMV growth slowed dramatically and its sales growth doesn’t appear sustainable.
Snowman Logistics- Forensic Analysis
- Snowman Logistics (SNLL IN) is principally engaged in the business of providing integrated cold chain solution to users in India.
- The company is in capex phase as it looks to increase the pallet capacity.
- Forensic concerns include inability to deliver cash flows after the last capex cycle, alongside governance issues such as directorial pay, churn in board, etc.
DSV: Long-Term Structural Winner
- DSV is a global leading logistics provider with a strong track record of both organic and inorganic growth
- With its asset-light model, DSV delivers industry-leading margins. Best in class management
- Potential for more acquisitions. Market consolidator. Long-term structural winner. Buy and hold
Lasertec (6920 JP): Negative Potential of Sculpta Not in the Price
- Applied Materials’ new Sculpta pattern-shaping tool could greatly reduce demand for EUV mask inspection on a medium- to long-term view. High-NA EUV is likely to do the same.
- Lasertec’s high valuations are predicated on a multi-year high growth trajectory. That trajectory is now being called into question.
- We have cut our FY Jun-25 profit forecast by 32%, but the projected P/E ratio is still 40x. More downside ahead.
💡 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
