Asian Insight Provider - Actionable ideas, CrossASEAN Research

Henry Soediarko

A Long & Short Investment Ideas generator for Asian Equities with 10 years experience in a Hedge fund focused on bottom-up ideas, searching out mispriced ideas and misunderstood investment thesis. Provides on-the-ground insights in various Asian markets with a sway towards ASEAN. Experienced and survived the Asian Financial Crisis in a family business, as well as the Global Financial Crisis in financial markets where lessons learned. It's all about understanding business drivers and navigating business cycles, which has high applicability in generating investment ideas. 

Investment horizon: Mid to Long term

Asian Insight Provider - Actionable ideas

HSI March Index Rebalance Preview - Last One Before New Methodology Kicks In

CR Beer (291 HK): When Bigger Gets Better. Premium Trends, Higher Margins. Stock Upside.

Gravity Works As WeWork Doesn't; Now Plan B

Bifurcated Chinese Express Market Developing

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

China Resources Beer Holdings / Equity Bottom-Up

Although China still has zero COVID-19 policy, it does not restrict people from dining out and gathering in large crowds and <a href="https://www.smartkarma.com/entities/china-resources-beer-holdings" target="_blank" data-smartkarma-citation="entities:399:1" rel="noopener">China Resources Beer Holdings (291 HK)</a> is one of the beneficiaries from that, as seen by the YoY revenue growth in 1H 2021.
As the cash to total asset ratio increased, the company is making a progress to premiumize its brand by acquiring a small stake in Baijiu makers - Shandong Jingzhi Baijiu Co and Shandong Jingzhi Liquor Co., Ltd - making an inroad to the highly lucrative Baijiu industry. 
Currently, it is trading at a 15% PER discount, 29% EV/EBITDA discount, and 47% PBR discount to its peers, making them one of the cheapest beverage companies in China.
Combined with the index inclusion on the 6th of December 2021, buying CRB in the short run provides a compelling story with limited downside.

Although China still has zero COVID-19 policy, it does not restrict people from dining out and gathering in large crowds and China Resources Beer Holdings (291 HK) is one of the beneficiaries from that, as seen by the YoY revenue growth in 1H 2021.
As the cash to total asset ratio increased, the company is making a progress to premiumize its brand by acquiring a small stake in Baijiu makers - Shandong Jingzhi Baijiu Co and Shandong Jingzhi Liquor Co., Ltd - making an inroad to the highly lucrative Baijiu industry. 
Currently, it is trading at a 15% PER discount, 29% EV/EBITDA discount, and 47% PBR discount to its peers, making them one of the cheapest beverage companies in China.
Combined with the index inclusion on the 6th of December 2021, buying CRB in the short run provides a compelling story with limited downside. 

China Resources Beer (291 HK): Baijiu and Index Inclusion