Equity Analyst, LightStream Research

Shifara Samsudeen, ACMA, CGMA

A chartered management accountant with more than 10 years of rich experience in investment research and financial analysis. Worked as an equity analyst for one of the world's largest asset managers with USD2.5trn in AUM covering numerous sectors including chemicals, retail, tech, autos, telco, real-estate and banks, globally. Experienced in fundamental equity research, industry research, commodity studies, forensic accounting, and due diligence reviews.

Equity Analyst

Grab: SOTP Suggests Steep Discount to Proposed SPAC Valuation

Zhaoke Opthalmology IPO Valuation: Overpriced

Tencent: Only Fintech Restructuring or Losing the Edge on WeChat User Data?

We Doctor Pre-IPO: Front-Runner in Digital Medical Services in China

Grab Goes Public: Expanding Top Line but No Profits; Proposed Valuation Seems Excessively Ambitious

Trip.com Secondary: Further Upside to SOTP Possible with Recovery in Travel and Hospitality Sector

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

Zhaoke Opthalmology IPO: Promising Drug Candidates; but Commercialisation May Take Longer

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 Capital Markets

<a href="https://www.smartkarma.com/entities/dida-inc" target="_blank" data-smartkarma-citation="entities:29701:1" rel="noopener">Dida (DIDA HK)</a>  operates the largest carpooling marketplace in China and according to Frost &amp; Sullivan, the company had a market share of 66.5% in terms of the number of carpooling rides in 2019. The company has filed for an IPO to list its shares on the Hong Kong Stock Exchange.The company generates a majority of its revenues from carpooling and has reported strong growth in revenue during 2017-2020. Despite decline in the number of carpooling rides in 2020 compared to 2019 due to safety concerns related to the Covid-19 outbreak, Dida’s carpooling marketplace revenues have continued to increase as a result of growth in service fee rates charged by the company. We expect Dida’s carpooling marketplace revenues to continue to expand though pandemic related safety concerns remain a short-term risk.Dida launched online ride-hailing services in 2017 and began monetising the business in 2019. The company’s online taxi-hailing services currently accounts for only 5% of revenues and given the fierce competition in the ride-hailing market in China, we do not expect the segment to be a key driver of growth for Dida over the next few years.The company’s gross profit margin has continued to expand driven by improvement in service fee rates, higher scale and drop in incentives and subsidies to the company’s users. Our adjusted operating profit calculation reveals that the company has been profitable at the operating profit line over the last two years.It seems that the company’s strategy of focusing on carpooling is paying off and we remain positive on the company’s future growth prospects.

Dida (DIDA HK)  operates the largest carpooling marketplace in China and according to Frost &amp; Sullivan, the company had a market share of 66.5% in terms of the number of carpooling rides in 2019. The company has filed for an IPO to list its shares on the Hong Kong Stock Exchange.The company generates a majority of its revenues from carpooling and has reported strong growth in revenue during 2017-2020. Despite decline in the number of carpooling rides in 2020 compared to 2019 due to safety concerns related to the Covid-19 outbreak, Dida’s carpooling marketplace revenues have continued to increase as a result of growth in service fee rates charged by the company. We expect Dida’s carpooling marketplace revenues to continue to expand though pandemic related safety concerns remain a short-term risk.Dida launched online ride-hailing services in 2017 and began monetising the business in 2019. The company’s online taxi-hailing services currently accounts for only 5% of revenues and given the fierce competition in the ride-hailing market in China, we do not expect the segment to be a key driver of growth for Dida over the next few years.The company’s gross profit margin has continued to expand driven by improvement in service fee rates, higher scale and drop in incentives and subsidies to the company’s users. Our adjusted operating profit calculation reveals that the company has been profitable at the operating profit line over the last two years.It seems that the company’s strategy of focusing on carpooling is paying off and we remain positive on the company’s future growth prospects.

Dida

Dida Pre-IPO: Shared Mobility