Overseas Chinese Equities, Aequitas Research

Ming Lu

A veteran with 19-year experience in equity research.

Geographical coverage:
* Companies operating in China, but listed in Hong Kong and the U.S.
* Previously China A-share (listed in mainland China).

Equity sector coverage:
* Chinese App / Internet-based consumption in China, e.g., Alibaba, Tencent, etc.
* Previously covered education, transportation, telecom, power, bank, advertisement, hotel, etc.

Research methods:
* Generally bottom-up.
* Talk to related people on the ground.  Talk to readers and independent writers for analyzing a news portal.  Talk to parents and teachers for analyzing a tutoring school. 
* Visit stores and show photos as evidence in notes.
* Do technical analysis when finding a short-seller attacking an equity.

Languages:
* English
* Mandarin Chinese (Official language of China)
* Shanghainese (Language of Shanghai, the most developed city in China)
* Cantonese (Language of Hong Kong and Canton Province, one of the most developed provinces in China)

Overseas Chinese Equities

Last Week on China Internet (14 Oct 2019): Richest Chinese and Forbes Top Digital Companies

Last Week on China Internet (21Oct19): Baidu Saves Paper Cup, Tencent Signed up China's Largest Bank

Last Week on China Internet (28Oct19): PDD’s Higher Cap than JD and Poorer Relation with Tencent

Alibaba (BABA): Government Officials Will Be Stationed in 100 Non-State Companies

Alibaba (BABA): Tripled Operating Profits in 1Q20, 48% Upside

Alibaba (BABA): A Visit to New Business Hema-Mini – Successful Change

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

Alibaba (BABA US): A Deep Dive into Alibaba Cloud

Equity Bottom-Up

Alibaba Group Holding  / Equity Bottom-Up

<ul>
<li>We do not believe the delisting will happen, as there are too many interested parties in the U.S.</li>
<li>In the worst-case scenario: Even if the delisting happens, the U.S. is not the only country that has stock exchanges.</li>
<li>We believe the Trump administration has different interests from the U.S. citizens, i.e. the election in 2020.</li>
</ul>


We do not believe the delisting will happen, as there are too many interested parties in the U.S.
In the worst-case scenario: Even if the delisting happens, the U.S. is not the only country that has stock exchanges.
We believe the Trump administration has different interests from the U.S. citizens, i.e. the election in 2020.


Alibaba (BABA): Trump’s Delisting Threat on Chinese Equities – Why? Will? and Worst-Case Scenario?