In today’s briefing:
- Taiwan Tech Weekly: AMAT Results Imply Longer Memory Weakness, Berkshire’s U-Turn on TSMC
- Korea Small Cap Gem #19: TY Holdings
- Sporting Crypto – 20th Feb 2023: The Metaverse Might not Suck
- Arista Networks Inc.: Major Drivers
- Cloudflare Inc.: Digital Experience Monitoring Umbrella & Other Drivers
- Motorola Solutions Inc.: The ThinkPhone Launch & Other Drivers
Taiwan Tech Weekly: AMAT Results Imply Longer Memory Weakness, Berkshire’s U-Turn on TSMC
- Berkshire’s TSMC U-Turn. Berkshire’s TSMC stake was sold down by 86.2% just months after acquiring it. One had to wonder what the about-face on the investment was based on.
- Applied Materials results well received by the market, however provided some caveates in terms of how fast the Memory chip industry recovery will come. (Readthrough: Nanya Tech, Micron, SK hynix)
- TSMC believes that the automotive chip crunch is now easing, which should be good news for the auto industry, especially EV.
Korea Small Cap Gem #19: TY Holdings
- TY Holdings (363280 KS) is the 19th company in our Korea Small Cap Gems series.
- Our NAV analysis of TY Holdings suggests NAV of 925.5 billion won or NAV per share of 18,172 won per share, which is 47.4% higher than current share price.
- The key catalysts include earnings improvements at SBS and Ecorbit, potential corporate activism on SBS, and potential change in regulation to allow foreigners to invest in SBS (terrestrial broadcasting company).
Sporting Crypto – 20th Feb 2023: The Metaverse Might not Suck
- This weekend at the NBA All-Star weekend, we saw the NBA commissioner Adam Silver unveil an in-game streaming experience which had the internet in awe.
- Many have decided to brand the ‘Metaverse’ a sham, a dystopian digital experience or something that just plain won’t work.
- When Mark Zuckerberg changed Facebook’s name to ‘Meta’ to indicate the direction of travel he thinks the world is heading in — we should probably have sat up and said “there might be something there”
Arista Networks Inc.: Major Drivers
- Arista delivered an all-around beat in the last quarter to finish 2022 on a positive note.
- Renewals of services and software support made up about 15.8% of the total revenue in the year.
- Arista added SONiC functionality to its high-volume switches to further strengthen its collaboration with Microsoft.
Cloudflare Inc.: Digital Experience Monitoring Umbrella & Other Drivers
- Cloudflare had another strong quarter despite a challenging macroeconomic environment.
- The company delivered an all-around beat and its revenue increased by 42% year over year to $274.7 million.
- They had 2,042 major customers at the end of the quarter, up 134 over the previous quarter and 44% over the same period last year.
Motorola Solutions Inc.: The ThinkPhone Launch & Other Drivers
- Motorola’s Q4 results were an all-around beat as the company is seeing a strong demand for its business security products.
- In the quarter, the company increased operating margins by 150 basis points, revenue by 17%, and profits per share by 26%.
- They experienced 14% revenue growth in their Products and Systems Integration business, led by strong growth in both LMR and video security.
💡 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
