Equity Analyst, LightStream Research

Oshadhi Kumarasiri

An equity research analyst with over 7 years of experience in multiple sectors. Previously worked for one of the world's largest asset managers with about USD2.5trn in AUM, covering small and micro-cap companies in the consumer sphere across Europe and developed Asia. Also experienced in covering multiple industries including banking, insurance and asset management, retail, tech, telco and REIT.

Equity Analyst

Seven & I’s Valuation Nears Breaking Point

Good Morning Japan |Fed Hawks Return; Earnings Weigh; ValueAct Tgts S&I(3382); Spate of JP BUY U/Gs

Seven & I: Activist ValueAct Seeking a Spin-Off of The US Business

Seven & I Parts with Sogo & Seibu and Pockets ¥200bn

Seven & I – The US Is About to Hit the Brakes

2021 & 2022 High Conviction Review: Time’s Up For Seven & I But Japan Tobacco Has More Room to Run

Japan Tobacco: Revised Guidance & Growth in the US With Altria JV Could Get The Shares Moving Again

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<ul>
<li>We would be closing our 2021 high-conviction long trade on <a href="https://www.smartkarma.com/entities/seven-i-holdings-co-ltd" target="_blank" data-smartkarma-citation="entities:1041:1" rel="noopener">Seven &amp; I Holdings (3382 JP)</a> before they release 3QFY23 results next week.</li>
<li>Although we are not expecting the company to miss consensus estimates this time around, we are expecting significant downside risks to Seven &amp; I’s US business throughout the year.</li>
<li>Given that shares went nowhere after 12% revenue and 1% OP beats in the previous quarter is a good indication that the upside is limited.</li>
</ul>


We would be closing our 2021 high-conviction long trade on Seven &amp; I Holdings (3382 JP) before they release 3QFY23 results next week.
Although we are not expecting the company to miss consensus estimates this time around, we are expecting significant downside risks to Seven &amp; I’s US business throughout the year.
Given that shares went nowhere after 12% revenue and 1% OP beats in the previous quarter is a good indication that the upside is limited.


2021 High Conviction Seven & I: Major Headwinds Deflected By The Yen Depreciation, Upside Is Limited