Equity Bottom-Up: Shakey's Pizza, Hansoh Pharmaceutical, Crowdstrike Holdings Inc and more

In today’s briefing:

Shakey’s Pizza: High Conviction Three Bagger, Management Call Provides Superb Guidance For FY22
Hansoh Pharmaceutical (3692 HK): Bottom-Fishing Idea; Market Is Overlooking Innovative Portfolio
Crowdstrike Analyst Day: Why It’s a Buy at 23x Forward P/S

Shakey’s Pizza: High Conviction Three Bagger, Management Call Provides Superb Guidance For FY22

Shakey’s Pizza Asia Ventures (PIZZA PM) is a play on F&B normalizing in the Philippines. On our numbers, it trades at a 12.9x PE for FY22 and 10x for FY23.
Quick Service Restaurant (QSR) peers like Domino’s Pizza (DPZ US) and Jubilant Foodworks (JUBI IN) trade at multiples of 39x and 59x fwd PE, making Shakey’s an extremely cheap stock.
Versus the current multiple of 7.9 peso/share, we believe the stock can trade up to 30x PE FY23 implying a 24 peso/share price (200% upside).

Hansoh Pharmaceutical (3692 HK) is increasingly focusing on innovative drug, with revenue from such drugs contributing 42% of total revenue in 2021. R&D accounted for 18% of revenue in 2021.
Thus far, in this year, Hansoh received approval for one more new rare-disease drug. Its rich pipeline has 25+ clinical programs of innovative drugs.
With its proven execution on innovative portfolio, sound financial positions, and recent business collaboration effort to enrich the pipeline, Hansoh seems to be an undervalued business.

Crowdstrikes’ growing platform offers three end markets as large as its core endpoint protection: log management, identity, and IT hygiene.
43 public enterprise software companies with more >$1 billion in revenues, only 5 are growing >60%, and only one has 30%+ free cash flow margins: Crowdstrike.
New $5B ARR 2026 target will prove as ridiculously conservative as last year’s $3B ARR 2025 target.

Before it’s here, it’s on Smartkarma